Revenue, expense, and dividend accounts, which are closed at the end of each accounting period, are:
A)Real accounts.
B)Temporary accounts.
C)Closing accounts.
D)Permanent accounts.
E)Balance sheet accounts.

Question

Quizplus · Accepted Answer

Revenue, expense, and dividend accounts are temporary accounts that are closed at the end of each accounting period to transfer their balances to the retained earnings account. The retained earnings account is a permanent account that reflects the cumulative earnings of the company over time. Therefore, the best choice is option B, temporary accounts.

Revenue, Expense, and Dividend Accounts, Which Are Closed at the End