Revenues and expenses are transferred to the account before their final transfer into the retained earnings account. a. net income b. dividends c. assets d. income summary

D is the correct answer. Income summary is a sort of "catch-all" account that holds both revenues and expenses before recording them as retained earnings. These will then be rectified at the end of the manual accounting period. If there is a net profit or loss for the business, it will be reflected during the accounting period in the income summary.

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