Closing Entries Are Made

question 40

Multiple Choice

Closing entries are made

• A) in order to terminate the business as an operating entity.
• B) so that all assets, liabilities, and stockholders' equity accounts will have zero balances when the next accounting period starts.
• C) in order to transfer net income (or loss) and dividends to the retained earnings account.
• D) so that financial statements can be prepared.

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Definitions:

Contextual Resilience

A leader’s ability to anticipate roadblocks and find better ways of doing things in a complex, cross-border environment.

Core Competencies

Fundamental strengths or unique advantages that a company possesses, enabling it to outperform competitors or deliver value to customers.

Geographic Boundaries

Physical or imaginary lines that define the spatial limits of entities such as countries, states, or municipalities.

Global Leaders

Individuals or organizations that have a significant impact on international affairs, economic trends, or global governance.