The Primary Purpose of Closing Entries Is To

question 144

Multiple Choice

The primary purpose of closing entries is to:

• A)Prove the equality of the debit and credit entries in the general journal.
• B)Ensure that all assets and liabilities are recognized in the appropriate period.
• C)Update the balance of Retained Earnings and prepare revenue,expense,and dividend accounts for next period's transactions.

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Definitions:

Terminals

Terminals refer to the points at which electrical connections are made to a circuit, device, or a battery, facilitating the transfer of electrical power or signals.

Blade Fuses

Electrical components that protect circuits by melting and breaking the connection when current exceeds safe levels, characterized by their flat, plug-in design.

Electrical Circuits

Pathways that allow electricity to flow from a source, through components, and back to the source forming a complete loop.