Accounting: Tools for Business Decision Making, 5th Edition

Published by Wiley
ISBN 10: 1118128168
ISBN 13: 978-1-11812-816-9

Chapter 4 - Accrual Accounting Concepts - Self-Test Questions - Page 200: 14

Answer

A - permanent accounts

Work Step by Step

Only permanent accounts appear in the post closing trial balance. By this point in the accounting cycle, all temporary accounts have been closed to permanent accounts through closing entries. Temporary accounts are reset to a zero balance and therefore add no value to being listed in the post-closing trial balance.
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