Which of the following entries contains both a balance sheet account and an income statement account?
A) An accumulated entry
B) A matching entry
C) An adjusting entry
D) A contra entry
E) A mixed entry

Question

Quizplus · Accepted Answer

Adjusting entries often involve one balance sheet account and one income statement account to ensure that revenues and expenses are matched in the period in which they occur, which is a fundamental principle of accrual accounting.

Which of the Following Entries Contains Both a Balance Sheet