Accounts That Are Closed as the End of the Year

question 19

Multiple Choice

Accounts that are closed as the end of the year are called:

• A)Permanent accounts.
• B)Temporary accounts.
• C)Balance sheet accounts.
• D)Trial balance accounts.
• E)All.

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Definitions:

Production Possibilities Curve

A graphical representation that shows the maximum possible output combinations of two goods or services an economy can achieve when all resources are fully and efficiently utilized.

Competitive Markets

Markets where numerous producers and consumers interact, leading to efficient distribution of goods and services and price determination through supply and demand.

Supply and Demand

A fundamental economic model that describes how prices and quantity of goods and services are determined in a market.

Equilibrium Price

The price at which the quantity of a good or service supplied matches the quantity demanded, causing the market to be in a state of balance.