AAMI BUS 411: Accounting II Exam with Questions and Answers

AAMI BUS 411: Accounting II Exam with Questions and Answers Income Summary Account gets closed to: ANSWER Capital. What account would you NOT find in a post closing trial balance? ANSWER Postage Costs. The Capital Account gets closed to: ANSWER It doesn't get closed. When closing Revenue to Income Summary, you do what to the Revenue Account? ANSWER Debit Revenue. Is Accounts Receivable a permanent or temporary account? ANSWER Permanent. Is "Accounts Payable" a permanent or temporary account? ANSWER Temporary. Which account gets closed first at the end of the accounting cycle? ANSWER Revenue. Is "Office Equipment" a permanent or temporary account? ANSWER Permanent. Income Summary appears under which category in "Chart of Accounts?" ANSWER Owner's Equity. Is "Gasoline Expense" a permanent or temporary account? ANSWER Temporary. T/F: Purchase returns and allowances increase the cost of merchandise purchased. ANSWER False.