Closing entries:
A) are posted to the general ledger.
B) are done to update Cash.
C) can be done before adjusting entries.
D) are done to update the balance sheet.

Question

Quizplus · Accepted Answer

Closing entries are part of the accounting cycle and are made at the end of an accounting period to transfer the balances of temporary accounts to permanent accounts in the general ledger. They are not specifically for updating cash or the balance sheet directly, nor are they done before adjusting entries, which must be completed to ensure all accounts reflect accurate and up-to-date information before closing entries are made.

Closing Entries