Adjusting entries are journal entries that a business makes at the end of its accounting period to bring the business revenue and expense account balances up-to-date and to show the correct ending balances in its asset and liability accounts.

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Adjusting entries are indeed made at the end of an accounting period to update account balances for accruals, deferrals, and other financial events that have not been recorded by the end of the period, ensuring that the financial statements reflect the correct revenues, expenses, assets, and liabilities.

Adjusting Entries Are Journal Entries That a Business Makes at the End