Which of the following describes the purpose(s) of closing entries? Adjust the balances of asset and liability accounts for unrecorded activity during the period. Transfer the balances of temporary accounts (revenues, expenses, and dividends) to Retained Earnings. Reduce the balances of the temporary accounts to zero to prepare them for measuring activity in the next period.

Question

07-10-2019
Business

contestada

Which of the following describes the purpose(s) of closing entries? Adjust the balances of asset and liability accounts for unrecorded activity during the period. Transfer the balances of temporary accounts (revenues, expenses, and dividends) to Retained Earnings. Reduce the balances of the temporary accounts to zero to prepare them for measuring activity in the next period.

Respuesta :

Otras preguntas

Pls help. Im grounded until I do this. Please read chapter one of Ways of Seeing by John Berger. You may respond to any part of the chapter, but please refrenc

The midpoint of RS is M(9, 2). One endpoint is S(10, 3). Find the coordinates of the other endpoint R. Write the coordinates as decimals or integers.

Determine the total surface area of the composite shape below

HELP PLEASE8. Generalize The total price of a printing job at Incredible Invites includes the cost per invitation plus a one-time set-up fee. Graduation Party!

In the given triangle, prove that [tex] \frac{1}{ {ab}^{2} } + \frac{1}{ {ac}^{2} } = \frac{1}{ {ad}^{2} } [/tex]

What do particulates do in the Earth's atmosphere? Question 3 options: They nucleate water vapor to form clouds They trap heat They shield the Earth's surface f

Explain how the human circulatory system is adapted to supply oxygen to the tissues and remove waste products

Which expression is equivalent to 482? Assume that the denominator does not equal zero. 12xy² O A. 4xy OB. 2 O C. O D. 4x

What size wrench, to the nearest 32nd of an inch, will fit a bolt with a 0.684-inch head?

Plssss help with this question

stokholm stokholm · Answer 1 · 2019-10-09T13:25:20+02:00

Answer:

Reduce the balances of the temporary accounts to zero to prepare them for measuring activity in the next period.

Explanation:

Closing entries are made to reflect the true and fair view, and calculate the end result for the period concerned.

This basically closes the balance of expense and revenue account, as are not assets or liabilities to be reflected in balance sheet.

This basically represents all the accounts with true picture of business, and for this the temporary accounts are closed to make a zero balance in them, if yet outstanding they are transferred to permanent accounts like assets and liabilities.