Question

The journal entry to close the Fees Earned, $750, and Rent Revenue, $175, accounts during the year-end closing process would be: a. Dec. 31Income Summary925 Fees Earned750 Rent Revenue175 b. Dec. 31Income Summary925 Revenues925 c. Dec. 31Fees Earned750 Rent Revenue175 Income Summary925 d. Dec. 31Revenues925 Income Summary925

Answer 1

c. Dec. 31Fees Earned750 Rent Revenue175 Income Summary925

Step-by-step explanation:

The journal entry to record the closing of Fees earned and rent revenue is given below:

On Dec 31

Fees earned $750

Rent revenue $175

To Income summary $925

(Being the revenues and fees earned is closed)

For recording this we debited the fees earned and rent revenue and credited the income summary so that the correct recording and posting could be done

Therefore the total amount of $925 is credited to income summary