Multiple Select Question

Select all that apply

Identify the statements below that are correct regarding the closing entries for a merchandiser using the perpetual inventory system.

Sales is closed as a revenue account.

Sales Discounts is closed with the revenue accounts.

Cost of goods sold is closed with the expense accounts.

Merchandise Inventory is closed with the expense accounts.

The Dividends account is closed to Income Summary.

Sales Discounts is closed with the expense accounts.

The Dividends account is closed to Retained Earnings

Cost of goods sold is closed with the revenue accounts.

Sales Returns and Allowances is closed with the expense accounts.