Which of the following accounts is not affected by closing entries?
A) Common Stock
B) Cash Dividends
C) Retained Earnings
D) Service Fees Earned
E) None of the above

Question

Quizplus · Accepted Answer

Common Stock is not affected by closing entries because it is a permanent account. Closing entries are used to transfer temporary account balances (like revenues, expenses, and dividends) to permanent accounts (like Retained Earnings), but they do not affect other permanent accounts such as Common Stock.

Which of the Following Accounts Is Not Affected by Closing