Question
Asked Feb 9, 2019
6 views

I just learned about Income Summary. Is it a temporary or permanent account and aside from using it to close, does it serve any other purpose? Is it a Debit or Credit account. What are some other temporary accounts and how do I know or how can I tell if something is a temp account or a permanent account? Also please answer this. Why is Dividend and Expenses temporary accounts?

Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in

Business

Accounting

Related Accounting Q&A

Find answers to questions asked by student like you
Show more Q&A
add
question_answer

Q: Exercise 13-2The following are selected 2017 transactions of Shamrock Corporation. Sept. 1 Purchased...

A: 1.Prepare journal entries: 

question_answer

Q: The following properties have been owned by a business for more than one year.  Which of them would ...

A: 1231 property includes:Livestock held for draft, breeding, dairy, or sporting purposesDepreciable or...

question_answer

Q: Why  Question#7's answer is "false"?  Provide your own answer?

A: ASC606 is the new guideline set up by IASB and FASB together to overcome the disparity in revenue re...

question_answer

Q: Which of the following is not a condition that must be satisfied before interest capitalization can ...

A: Capitalized Interest: Interest is usually paid on the amount borrowed and it is shown as an expense ...

question_answer

Q: The materials handling charge for ABC Corp. is $0.50 per pound of finished product. What is the mate...

A: Material handling charges: Material handling charges is the cost incurred in the storage, movement, ...

question_answer

Q: Many businesses borrow money during periods of increased business activity to finance inventory and ...

A: When Cash is recieved against promissory note, an asset is received and a liability is created. when...

question_answer

Q: Clem and Chloe, a married couple, sell their principal residence that they have owned and occupied f...

A: Disposal of Assets: Disposal is an activity of selling the worn-out assets that is no longer in need...

question_answer

Q: Exercise 5-9 (Part Level Submission) Suppose in its income statement for the year ended June 30, 20...

A: The multiple-step income statement is the statements that segregates the operating revenues and oper...

question_answer

Q: On January 2, 2018 JC Corporation acquired a new machine with an estimated useful life of five years...

A: Given:Cost of equipment = $400,000Salvage Value       = $5,000Useful Life of Asset = 5 years Depreci...