CLOSING ENTRY FOR AN INCOME STATEMENT ACCOUNT WITH A CREDIT BALANCE Lesson 9-2 CLOSING ENTRY FOR AN INCOME STATEMENT ACCOUNT WITH A CREDIT BALANCE (Debit to close) 3 1 2 4 1. Write the heading. 2. Write the date. 3. Record the debit. 4. Record the credit. Lesson 9-2, page 199

CLOSING ENTRY FOR INCOME STATEMENT ACCOUNTS WITH DEBIT BALANCES 1. Write the date. 2. Income Summary. (Credit to close) 3 3. Record the credit. 4. Record the debit. 4 2 1 Lesson 9-2, page 200

CLOSING ENTRY TO RECORD NET INCOME OR LOSS AND CLOSE THE INCOME SUMMARY ACCOUNT (Capital: credit to record net income) (Income Summary: debit to close) 2 1 3 1. Write the date. 2. Record the debit. 3. Record the credit. Lesson 9-2, page 201

CLOSING ENTRY FOR THE OWNER’S DRAWING ACCOUNT (Capital: credit to close) 2 1 3 1. Write the date. 2. Record the debit. 3. Record the credit. Lesson 9-2, page 202

TERMS REVIEW permanent accounts temporary accounts closing entries Lesson 9-2, page 203