The following normal account balances were found on the general ledger before closing entries were prepared: After closing entries are posted, what is the balance in the Revenue account?

Question

The following normal account balances were found on the general ledger before closing entries were prepared:  After closing entries are posted, what is the balance in the Revenue account?

Quizplus · Accepted Answer

Closing entries are made to transfer the balances of temporary accounts (such as revenue, expenses, and dividends) to the retained earnings account. This means that the revenue account will have a zero balance after closing entries.

The Following Normal Account Balances Were Found on the General