Which Account Will Have a Zero Balance After Closing Entries

question 58

Multiple Choice

Which account will have a zero balance after closing entries have been journalized and posted?

• A)Service revenue.
• B)Supplies.
• C)Prepaid Insurance.
• D)Accumulated Depreciation.

Understand the principles of liquidity and how it impacts a firm's financial flexibility.

Comprehend the short-term financial obligations of a firm as indicated by current liabilities.

Familiarity with GAAP and IFRS accounting principles and their implications for financial reporting.

Understand non-cash items in financial statements and their impact on a company’s financial performance.

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Definitions:

Mall Intercept Interviews

A market research technique involving approaching people in public areas like malls to conduct immediate, in-person surveys.

Marketing Research Firm

A company that specializes in gathering and analyzing data on market conditions, consumer behaviors, and competition to inform marketing strategies.

Focus Group

A research method involving a small, diverse group of people whose reactions to specific products or ideas are studied to gain insights into broader consumer perspectives.

Semantic Differential

A scale used for measuring the meaning of things and concepts, involving pairs of opposite adjectives.