When Closing Entries Are Made

question 85

Multiple Choice

When closing entries are made:

• A) All ledger accounts are closed to start the new fiscal period.
• B) All temporary accounts are closed but not the permanent accounts.
• C) All real accounts are closed but not the temporary accounts.
• D) All permanent accounts are closed but not the temporary accounts.
• E) All balance sheet accounts are closed.

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Definitions:

Rejecting

The act of not accepting or dismissing a statistical hypothesis based on the analysis of data.

Level of Significance

The threshold probability used in hypothesis testing to determine whether to reject the null hypothesis.

Probability

A measure of the likelihood of occurrence of an event, expressed as a number between 0 and 1, where 0 indicates impossibility and 1 indicates certainty.

Z Statistic

A statistic that tells us how many standard deviations an element is from the mean. It is used in hypothesis testing.