In the closing process,the amounts in temporary accounts are moved to Retained Earnings,a permanent account.

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Temporary accounts, such as revenue, expense, and dividend accounts, are closed at the end of the accounting period to prepare the accounts for the next period. The balances in these accounts are transferred (or closed) to Retained Earnings, a permanent account on the balance sheet, as part of the closing process. This allows the company to begin the next accounting period with a fresh set of temporary accounts.

In the Closing Process,the Amounts in Temporary Accounts Are Moved