Exam 5: Closing Entries and the Post-Closing Trial Balance Including Appendix

The fourth step in the closing process is to close the _____________ account(s) into the ___________ account(s).

Which of the following accounts would not be involved in closing entries?

Match the terms that follow with the correct definitions. -An accounting system in which transactions are recorded by hand.

The _______________ requires that revenue is recorded when it is received in cash and expenses are recorded when they are paid in cash.

On December 31, the ledger accounts of Barsky Repair have the following balances after all adjusting entries have been posted. Instructions: Journalize the four closing entries in the proper order.

Which of the following can be prepared by taking the account balances from the general ledger after closing?

Entries required to clear or zero the balances of temporary accounts at the end of the year are called ____________ entries.

Classify the following accounts as real (permanent) or nominal (temporary), and indicate with an X whether the account is closed. Also, indicate the financial statement in which each account will appear. The Accounts Payable account is given as an example.

Yellow Co. makes a sale to a customer in January but does not receive payment until March. Yellow Co. records the sale in January. Which method of accounting is Yellow Co. using?

A post-closing trial balance will include only permanent accounts.

Match the terms that follow with the correct definitions. -The debit to Income Summary represents the total

The fourth step in the closing procedure is to close the Income Summary account into the Capital account.

Which of the following accounts should be closed to Income Summary at the end of the fiscal year?

The most efficient sources for closing entry information are the

Financial statements prepared during the fiscal year for periods of less than twelve months are called interim statements.

Which of the following account(s) would remain open after closing entries?

Match the terms that follow with the correct definitions. -A feature of QuickBooks that handles transactions related to specific areas, such as customers, vendors, employees, banking, and reports.

Match the terms that follow with the correct definitions. -Account that is used to assist in closing temporary-equity accounts

The debit to Income Summary in the second closing entry represents the total expenses.

Entries required to clear or zero the balances of the temporary accounts at the end of the year are called adjusting entries.