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Use the figure to answer the following question.
If the figure is an accurate depiction of relatedness, then which of the following should be an accurate statement?
Permanent Accounts
Permanent Accounts are balance sheet accounts whose balances are carried forward from one accounting period to the next, including assets, liabilities, and equity accounts.
Owner's Capital Account
An equity account on the balance sheet representing the owner's total investment in the business minus any withdrawals.
Temporary Accounts
Accounts that are closed at the end of each accounting period; examples include revenue, expense, and dividend accounts.
Owner's Capital Account
An account that represents the total equity or ownership interest of the owner(s) in a business, reflecting contributions and withdrawals.
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