The Purpose of Reversing Entries Is To

question 145

Multiple Choice

The purpose of reversing entries is to:

• A) simplify the recording of certain journal entries in the future.
• B) correct an error made in a previous journal entry.
• C) ensure that closing entries have been properly posted to the ledger accounts.
• D) make certain that only permanent accounts are carried forward into the next accounting period.
• E) complete a required step in the accounting cycle.

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Definitions:

Population Standard Deviation

A measure of the dispersion or variability of a set of data points in a population, quantifying how much the data points differ from the population mean.

Simple Random Sampling

A sampling method in which each member of a population has an equal chance of being selected.

Subset

A part of a larger set of data, where the elements of the subset are also contained within the larger set.