In general adjusting entries are required each time financial statements are prepared.

Question

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Adjusting entries are necessary to ensure that the financial statements accurately reflect the financial activity during the reporting period. They are made at the end of an accounting period and are necessary to account for items that have not yet been recorded in the accounting system, such as accrued expenses or unearned revenue. Without adjusting entries, financial statements would not accurately reflect the company's financial position or performance.

In General Adjusting Entries Are Required Each Time Financial Statements