Accounting Chapter 10

Front

These are made to close out or reduce to zero the balance of certain general ledger accounts.

Back

closing entries

Front

This is prepared to prove that debits in the ledger accounts are equal to the credits after the closing entries have been posted.

Back

post-closing trial balance

Front

Their balances are listed on the post-closing trial balance

Back

permanent accounts

Front

A general ledger account used to accumulate and summarize the revenue and expenses for a period.

Back

income summary account

Front

Accounts that start an accounting period with zero balance.

Back

temporary account

Front

The purpose of the Income Summary account is to ____________.

Back

accumulate and summarize the revenue and expenses for the period

Front

Transactions involving revenue, expenses, and withdrawals are recorded in the _________.

Back

temporary capital accounts

Front

The balance of the revenue account is transferred to the ________.

Back

credit side of the Income Summary account

Front

Which of the following statements is true? The Income Summary account is located in the owner's equity section of the general ledger. The Income Summary account has a normal debit balance. The Income Summary account is a permanent account. The Income Summary account is used throughout the accounting period.

Back

The Income Summary account is located in the owner's equity section of the general ledger.

Front

Which of the following questions will NOT be answered on the heading of Post Closing Trial Balance: How, Who, What, When?

Back

How