Question: All income statement accounts will be closed at the end of the period.

Answer: true

Question: assets liabilities and owner’s equity are permanent (real) accounts and do not get closed at the end of the period

Answer: true

Question: balance sheet accounts

Answer: are called permanent or real accounts

Question: closing entries

Answer: must be journalized and posted

Question: the post-closing trial balance will generally have fewer accounts than the trial balance

Answer: true

Question: what is the first account that should be listed in the post-closing trial balance

Answer: cash

Question: which of the accounts below would be closed by posting a debit to the account?

unearned revenue

fees earned

josh morton drawing

miscellaneous expense

Answer: fees earned

Question: Which of the following account groups includes temporary (nominal) accounts?

a. Cash, Dividends, Wages Payable

b. Prepaid Insurance, Equipment, Fees Earned

c. Common Stock, Dividends, Net Income

d. Rent Revenue, Fees Earned, Miscellaneous Expense

Answer: d

Question: Which of the following accounts should be closed to the capital account at the end of the year?

Service Revenue

Equipment

Prepaid Insurance

Unearned Rent

Answer: service revenue

Question: which of the following accounts will be debited in the closing entry at the end of the year

rent expense

fees earned

unearned fees

depreciation expense

Answer: fees earned