ACCT CH 7 VOCAB

permanent accounts

• Accounts used to accumulate information from one fiscal period to the next.
• A trial balance prepared after the closing entries are posted.
• The series of accounting activities included in recording financial information for a fiscal period.

temporary accounts

• Accounts used to accumulate information until it is transferred to the owner's capital account.
• Accounts used to accumulate information from one fiscal period to the next.
• Journal entries used to prepare temporary accounts for a new fiscal period.

closing entries

• Journal entries used to prepare temporary accounts for a new fiscal period.
• Accounts used to accumulate information until it is transferred to the owner's capital account.
• Accounts used to accumulate information from one fiscal period to the next.

post-closing trial balance

• A trial balance prepared after the closing entries are posted.
• The series of accounting activities included in recording financial information for a fiscal period.
• Accounts used to accumulate information until it is transferred to the owner's capital account.

accounting cycle

• The series of accounting activities included in recording financial information for a fiscal period.
• Journal entries used to prepare temporary accounts for a new fiscal period.
• A trial balance prepared after the closing entries are posted.