Closing entries are made:
A) in the ledger only.
B) in the journal and the ledger.
C) in the journal only.
D) on the worksheet.

Question

Quizplus · Accepted Answer

Closing entries are required to be recorded in both the journal and the ledger. The journal entry is necessary to update the retained earnings account, while the ledger entry is needed to close the temporary accounts. The worksheet is a tool used to prepare the financial statements but is not used to make closing entries.

Closing Entries Are Made