Which of the following is considered a permanent account?
A)Income Statement accounts
B)Balance Sheet accounts
C)Both income statement accounts and balance sheet accounts
D)None of these

Question

Quizplus · Accepted Answer

Balance Sheet accounts, such as assets, liabilities, and equity, are considered permanent accounts because they are not reset to zero at the end of each accounting period. Instead, their balances carry forward to the next period. Income Statement accounts, on the other hand, are temporary accounts that are closed out at the end of the period and start with zero balances in the next period.

Which of the Following Is Considered a Permanent Account