The balance in the capital account after all closing entries have been posted is:
A)equal to net income or loss for the period.
B)the same as the balance of the account on the worksheet.
C)always more than the balance of the account on the worksheet.
D)the balance that will appear on the balance sheet.

Question

Quizplus · Accepted Answer

The balance in the capital account after all closing entries have been posted reflects the owner's equity at the end of the period and is the balance that will appear on the balance sheet. This balance includes the initial capital, additional investments, withdrawals, and the net income or loss for the period after closing entries.

The Balance in the Capital Account After All Closing Entries