21) ________


Wages Expense


Wages Payable




22) ________


Income Summary


Utilities Expense



23) ________


Fees Earned


Income Summary




24) ________








25) ________


Depreciation Expense


Accumulated Depreciation




5.2   Learning Objective 5-2


1) Closing entries are prepared:

A) to clear all temporary accounts to zero.

B) to update the Capital balance.

C) at the end of the accounting period.

D) All of the above are correct.

2) Income Summary:

A) is a temporary account.

B) is a permanent account.

C) summarizes revenue and expenses and transfers the balance to Capital.

D) Both A and C are correct.


3) Which of the following accounts is not a temporary account?

A) Withdrawals

B) Fees Earned

C) Cash

D) Income Summary


4) Which of the following accounts would not be considered a permanent account?

A) Accounts Receivable

B) Salaries Expense

C) Accounts Payable

D) Office Supplies


5) An account in which the balance is not carried over from one accounting period to the next is called a:

A) permanent account.

B) real account.

C) temporary account.

D) zero account.



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