Questions: Question 5 3.33 Points Permanent accounts are those accounts presented in the Income Summary. (A) True (B) False Clear selectio

The answer is (B) False.

Explanation:

• Permanent accounts are not presented in the Income Summary. Permanent accounts, also known as real accounts, include balance sheet accounts such as assets, liabilities, and equity accounts. These accounts carry their balances over from one accounting period to the next.
• The Income Summary is a temporary account used during the closing process to summarize revenues and expenses for the period. It is used to transfer the net income or loss to the retained earnings account, which is a permanent account.
• Therefore, permanent accounts are not associated with the Income Summary, making the statement false.