Asked by Peyton Howard on Mar 10, 2024
Verified
There are 7 closing entries.
Closing Entries
Closing entries are journal entries made at the end of an accounting period to transfer temporary account balances to permanent accounts, thereby resetting the temporary accounts for the next period.
- Comprehend the purpose and procedure of closing entries in the accounting cycle.
Verified Answer
MB
Marquis BrutonMar 10, 2024
Final Answer :
False
Explanation :
Typically, there are four main types of closing entries in accounting: closing revenue accounts, closing expense accounts, closing income summary account, and closing dividends or withdrawals accounts.
Learning Objectives
- Comprehend the purpose and procedure of closing entries in the accounting cycle.