Respond that the following statements are true or false:

1. The income summary account is an account used only during the closing process.

2. The purpose and use of the income summary account is to summarize the difference between revenues and expenses.

3. The steps involved in handling all of the transactions and events completed during an accounting period, beginning with placing data in a book of original entry and ending with a post-closing trial balance, are referred to collectively as the accounting cycle.