Closing entries are made
A) in order to terminate the business as an operating entity.
B) so that all assets, liabilities, and stockholders' equity accounts will have zero balances when the next accounting period starts.
C) in order to transfer net income (or loss) and dividends to the Retained Earnings account.
D) so that financial statements can be prepared.
Correct Answer:
Verified
Q2: The accounting cycle begins at the start
Q6: In preparing closing entries
A)each revenue account will
Q7: The adjusted trial balance columns of a
Q9: After closing entries have been journalized and
Q13: The amounts appearing on an income statement
Q42: The net income (or loss) for the
Q45: When using a worksheet adjusting entries are
Q49: Closing entries are
A) an optional step in
Q62: Closing entries are journalized and posted
A) before
Q235: The closing entry process consists of closing:
A)all
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