In TRApps Co. example, Income Summary account has the credit balance of 1,516.67 TL (7,400- 5,883.33). In other words, transferred revenue totals are higher than transferred expense totals. TRApps Co has the profit! Now, as the company calculated its profit, it is time to close Income Summary account. In this case, because the company has profit, the Income Summary account must be debited for closing. The balance will be transferred to Capital account. If there were loss for the company, then there would be a debit balance. In this case Income Summary account would be credited for closing. Here is the journal entry for TRApps Co. for closing Income Summary account.