At the end of the accounting period:
A)all accounts are closed.
B)temporary accounts are closed;permanent accounts are not.
C)permanent accounts are closed;temporary accounts are not.
D)only accounts with a credit balance are closed.

Question

Quizplus · Accepted Answer

At the end of each year,after all the year's transactions and adjustments are recorded,all revenue,expense,and dividends accounts (referred to as the temporary accounts)are closed by moving their balances to their permanent home in Retained Earnings.Permanent accounts,which include the balance sheet accounts,are not closed.

At the End of the Accounting Period