The Purpose of Closing the Books Is to Transfer

question 16

Multiple Choice

The purpose of closing the books is to transfer:

• A)Drawing to Sales.
• B)Cost of Goods Sold to Accounts Payable.
• C)Checking to Accounts Receivable.
• D)Net income to Retained Earnings.
• E)None of these.

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Definitions:

Variable

An attribute or detail that can change or alter.

Time Periods

Specific intervals or periods used for analysis or measurement in temporal data or time series analysis.

Cumulative Relative Frequency

A measure used in statistics to represent the sum of relative frequencies up to a certain class or level.

Electronics Company

A business entity that specializes in the manufacture, design, marketing, or sale of electronic goods and devices.