Adjusting Entries Are Journal Entries Made at the End of an Accounting

question 58

Multiple Choice

Adjusting entries are journal entries made at the end of an accounting period for the purpose of:

• A)Recording internal transactions.
• B)Updating related liability and asset accounts.
• C)Assigning revenues to the period in which they are earned.
• D)Assigning expenses to the period in which the expiration of benefit has incurred.
• E)All of these answers are correct.

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Definitions:

Pre-Contract Statements

Statements made by parties involved before a contract is finalized, which may influence the agreement or understanding of the contract.

Consideration

In contract law, the benefit or value that each party agrees to exchange as part of a contractual agreement, which is a requirement for a valid contract.

Assignee

A person to whom an assignment is made.

Assignor

The maker of an assignment.