The First Closing Entry For A Retail Business Will Include Which Of The Following? (MCQ)

Sales Account

The first closing entry for a retail business or a merchandising business will include “Sales” as in the Closing Entry Process, the first closing entry includes all of the Revenue Accounts which are closed to Income Summary Account.

To close sales account to income summary account, the following Sales Revenue Closing Entry is recorded as shown below:

                                                                  Sales a/c  XXX

 

                                                                                      Income Summary Account a/c  XXX

 

                                                 (Sales Revenue Account Closed To Income Summary Account)