At the End of the Accounting Period

question 125

Multiple Choice

At the end of the accounting period:

• A)all accounts are closed.
• B)temporary accounts are closed;permanent accounts are not.
• C)permanent accounts are closed;temporary accounts are not.
• D)only accounts with a credit balance are closed.

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Definitions:

Remittance

The action of sending money in payment or as a gift.

Discount Period

A set timeframe in which a buyer can pay less than the full invoice amount if they pay before the period expires.

Discount Date

The date on which a bill or note is discounted, determining the time left until its maturity and the amount to be received.

Due Date

The specified date by which a payment, task, or action is required to be completed.