Which Accounts Are Closed at the End of the Accounting

question 174

Essay

Which accounts are closed at the end of the accounting period? Why is it necessary to close these accounts?

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Definitions:

Producer Surplus

The difference between the amount sellers are willing to accept for a good or service and the actual amount they receive in the market.

Producing

The act of creating, manufacturing, or generating goods and services that can be offered in a market.

Sells

Engages in the act of offering goods or services in exchange for money or other compensation; a rephrased definition of 'Sellers.'

Highest Amount

The maximum quantity or degree of something that is recorded, attained, or allowed.