A company usually makes a reversing entry
A) on the first day of the next accounting period.
B) at the end of the prior accounting period.
C) on the second day of the next accounting period.
D) on the last day of the next accounting period.

Question

Quizplus · Accepted Answer

Reversing entries are typically made on the first day of the next accounting period to simplify the recording of subsequent transactions related to accruals or deferrals made at the end of the prior period.

A Company Usually Makes a Reversing Entry