The same is true of your cash receipts journal, though this journal tracks net sales the inflow, not the outflow, of funds. Journal entries are transferred to the general ledger when they’re posted to an account, such as accounts receivable. ‘Retained earnings‘ account is credited to record the closing entry for income summary. While manual… Continue reading How, when and why do you prepare closing entries?
The same is true of your cash receipts journal, though this journal tracks net sales the inflow, not the outflow, of funds. Journal entries are transferred to the general ledger when they’re posted to an account, such as accounts receivable. ‘Retained earnings‘ account is credited to record the closing entry for income summary. While manual… Continue reading How, when and why do you prepare closing entries?
The same is true of your cash receipts journal, though this journal tracks net sales the inflow, not the outflow, of funds. Journal entries are transferred to the general ledger when they’re posted to an account, such as accounts receivable. ‘Retained earnings‘ account is credited to record the closing entry for income summary. While manual… Continue reading How, when and why do you prepare closing entries?
The same is true of your cash receipts journal, though this journal tracks net sales the inflow, not the outflow, of funds. Journal entries are transferred to the general ledger when they’re posted to an account, such as accounts receivable. ‘Retained earnings‘ account is credited to record the closing entry for income summary. While manual… Continue reading How, when and why do you prepare closing entries?