Closing entries
A) need not be journalized since they appear on the worksheet.
B) need not be posted if the financial statements are prepared from the worksheet.
C) are not needed if adjusting entries are prepared.
D) must be journalized and posted.

Question

Quizplus · Accepted Answer

Closing entries are necessary to transfer the balances of temporary accounts (revenue, expense, and dividend accounts) to the retained earnings account. Therefore, they must be journalized and posted to ensure the accurate reflection of financial statements.

Closing Entries