Which of the Following Statements About Closing Entries Is Correct

question 20

Multiple Choice

Which of the following statements about closing entries is correct?

• A) The profit or loss summary account is used regularly when processing transactions for sales and expenses.
• B) Computerised accounting systems have eliminated the need to close off the income and expense accounts.
• C) Closing entries are made at the end of each accounting period whatever its length.
• D) Closing entries are only made at the end of the accounting year.

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Definitions:

Mathematical Variables

Symbols or letters that represent numbers or values in mathematical equations, allowing for the description of general relationships or formulas.

Hypothetical Entities

Concepts or objects that are assumed for the sake of argument or investigation, even if they may not actually exist.

Adolescent Growth Spurt

A rapid increase in height and weight, along with other bodily changes, occurring during puberty.

Boys

Male children or young men.