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What is the closing entry to allocate a net income of $48,000 to Sara, Ellen, and Mary? Respective capital balances are $30,000, $40,000, and $30,000. No agreement was made for division of income.

  • Meochi:

    The answer to your question is:

    Debit Income Summary $48,000; credit Sara's Capital $16,000; credit Ellen's Capital $16,000; credit Mary's Capital $16,000.

Closing Entry Definition Online Accounting

Closing Entry Definition Online Accounting

Source: online-accounting.net

Closing Entries Types Example My Accounting Course

Closing Entries Types Example My Accounting Course

Source: www.myaccountingcourse.com

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