The Income Summary account shows debits of $35,824 and credits of $25,977. This results in:

A) Withdrawals of $61,801.
B) a net loss of $61,801.
C) a net income of $9,847.
D) a net loss of $9,847.

Net Loss

A financial situation where the total expenses of a business exceed its total revenues, indicating a negative profit.

Income Summary

An account in which the revenues and expenses are summarized during the closing process, used to transfer net income or loss to owner's equity.

Net Income

The net income a company earns once all costs and taxes are deducted from its total revenues.