Yes, if you still owed a balance at the time the account was closed. Just because a company closes an account does not mean that any balances that are owed to them disappear. If your account was closed and there was still a balance outstanding and you did not pay that balance, the company has every right to collect the balance and any interest outstanding.
Yes, until the account balance is paid in full.
If a credit card is closed it cannot have a balance. Just because you have stopped using the ard you cannot declare the account closed. If you owe even one penny, the account is open and the credit card company can 'report a 30 day late'
The closing process seeks to reduce the balance of each account that needs to be closed to zero; therefore, the closing entry must reverse whatever balance the account already has. This means that any (temporary) account that normally has a credit balance will be closed by posting a debit (and vice-versa). Revenue is an example of an account that must be closed with a debit, since it is normally a credit account.
Can a checking account be closed when you have a neg balance
income summary account.
With automatic debits, you give your permission to the company to take the payments from your bank account. Be Cautious.
Company Closed account
Neither. Sales will be listed as an income statement account on the firm's trial balance. Once the accounts are closed at year end, sales will be closed into Retained Earnings.
Technically yes. Once a person or company pays off a balance owed to you (hence the account receivable) the books show this as a zero balance. Though the account is still on the books itself, the balance is zero and is closed. Keeping the actual account on the book is for future use if that person or company purchases from you on account again. For example. You sale computers and John purchased a $1500 computer on account. The original transaction is recorded as a sale with a debit recorded in accounts receivable-John. As payments are received, A.R. is credited and cash is debited until the A.R. is closed out.