After the closing entries are posted, the balance of the owner's capital account agrees with the amount of owner's equity shown on the balance sheet for the period.

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This statement is true. The purpose of closing entries is to transfer temporary account balances (revenues, expenses, and dividends) to the permanent owner's equity account. This ensures that the ending balance of the owner's capital account reflects the total amount of owner's equity that will be shown on the balance sheet.

After the Closing Entries Are Posted, the Balance of the Owner's