Closing Entries Video Lessons

Concept

# Problem: The first two closing entries to the Income Summary account indicate a debit of $53,000 and a credit of$64,000. The third closing entry would be a) debit Capital Stock $11,000; credit Income Summary$11,000 b) debit Income Summary $11,000; credit Retained Earnings$11,000 c) debit Revenue $64,000; credit Expenses$53,000; credit debit Income Summary $11,000 d) debit Revenue$64,000; credit Expenses $53,000; credit debit Retained Earnings$11,000

###### Problem Details

The first two closing entries to the Income Summary account indicate a debit of $53,000 and a credit of$64,000. The third closing entry would be

a) debit Capital Stock $11,000; credit Income Summary$11,000

b) debit Income Summary $11,000; credit Retained Earnings$11,000

c) debit Revenue $64,000; credit Expenses$53,000; credit debit Income Summary $11,000 d) debit Revenue$64,000; credit Expenses $53,000; credit debit Retained Earnings$11,000

What scientific concept do you need to know in order to solve this problem?

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What is the difficulty of this problem?

Our tutors rated the difficulty ofThe first two closing entries to the Income Summary account ...as high difficulty.

What professor is this problem relevant for?

Based on our data, we think this problem is relevant for Professor Levkoff's class at UCSD.