Adjusting entries that should be reversed include
A)all accrued revenues.
B)all accrued expenses.
C)those that debit an asset or credit a liability.
D)all of these.

Question

Quizplus · Accepted Answer

All of the given choices should be reversed because adjusting entries are made at the end of an accounting period to ensure that the financial statements reflect the correct balance of accounts. Reversing entries are made to undo the effects of certain adjusting entries that shouldn't be included in the next accounting period, such as accrued revenues and expenses. Additionally, adjusting entries that debit an asset or credit a liability usually need to be reversed to prevent misstating the balance sheet accounts. Therefore, all of the given choices should be reversed.

Adjusting Entries That Should Be Reversed Include