Use the following information from the income statement of the AAA Janitorial Service.
Revenues
Service Revenue $5,500
Expenses
Salaries and wages expense $ 1,150
Advertising expense 600
Rent expense 300
Supplies expense 300
Insurance expense 100
Total expenses 2,450
Net Income $3,050

The entry to close the Income Summary includes a
- debit to Income Summary for $3,050.
- credit to Common Stock for $3,050.
- debit to the Owner’s Capital account for $3,050.
- credit to Income Summary for $3,050.

Which of the following items has no effect on owner’s equity?
a. Purchase of land
b. Owner’s withdrawal
c. Expense
d. Revenue



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