Income Statement Accounts Are Closed at What Stage of the Accounting

question 30

Multiple Choice

Income statement accounts are closed at what stage of the accounting process?

• A)At the time that adjustments are made.
• B)After adjustments are made and before the income statement is prepared.
• C)After the income statement and the statement of retained earnings are prepared,but before the balance sheet is prepared.
• D)As the last journal entries at the end of each accounting year.

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Definitions:

Digestion

The biological process of breaking down food into absorbable components using enzymatic actions in the gastrointestinal tract.

Large Intestine

The last section of the digestive system, where water is absorbed and stools are formed.

Stomach

An organ in the gastrointestinal tract that breaks down food through the secretion of enzymes and acid, preparing it for further digestion and absorption.

Peristalsis

The series of wave-like muscle contractions that moves food through the digestive tract.