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An expense is closed with a debit to the expense and a credit to the Income Summary Account. True or False?

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Question added by Said Shaban , Accountant , Tri State Materials Testing
Date Posted: 2015/08/02
Michael Lagunday
by Michael Lagunday , Accountant , Dubai Camel Racing Club

My answer is false.

Expense’s normal balance is debit. So, to close the account it has to be credited. The entry for closing expenses is debit Income and expense summary and credit to Expenses.

Mohammed Asim Nehal
by Mohammed Asim Nehal , M Asim Nehal & Co , Chartered Accountants

F A L S E ................

False>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

Sridhar Rajagopal
by Sridhar Rajagopal , Financial Controller , Sai Krishna Bio Tech

income summary accounts is new term atleast for me  it could be control accounts. expenses has to be adusted in expense only 

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