What is the purpose of closing entries?
a. To prepare financial statements
b. To close (or zero) the revenue, expense, and Drawing accounts
c. To close (or zero) the assets, liabilities, and owner's Capital accounts
d. All of the answers listed
b
You might also like to view...
Which of the following is not true?
a. The imprest petty cash system in effect adheres to the rule of disbursement by check. b. Entries are made to the Petty Cash account only to increase or decrease the size of the fund or to adjust the balance if not replenished at year-end. c. The Petty Cash account is debited when the fund is replenished. d. All of these are not true.
The public is well aware that much of what it has come to know and believe about a wide variety of products and services comes via publicity covered in the media
Indicate whether the statement is true or false