Which of the following statements regarding a post-closing trial balance is not true?
A)Post-closing trial balances only contain permanent accounts.
B)Balances in a post-closing trial balance cannot be used to calculate current income.
C)Post-closing trial balances only contain temporary accounts.
D)A post-closing trial balance verifies that the total of the debit balances equals the total of the credit balances of all accounts in the general ledger.

Question

Quizplus · Accepted Answer

Post-closing trial balances only contain permanent accounts, not temporary accounts. Temporary accounts are closed at the end of the accounting period and their balances are transferred to the retained earnings account.

Which of the Following Statements Regarding a Post-Closing Trial Balance