A correcting entry
A) must involve one balance sheet account and one income statement account.
B) is another name for a closing entry.
C) may involve any combination of accounts.
D) is a required step in the accounting cycle.

Question

Quizplus · Accepted Answer

Correcting entries may involve any combination of accounts, not just one balance sheet account and one income statement account. They are made to correct errors or omissions in previous entries and are not necessarily the same as closing entries. While they are often made as a part of the accounting cycle, they are not a required step.

A Correcting Entry