Temporary and permanent accounts

Accounting
Tutor: None Selected Time limit: 1 Day

Describe the difference between temporary and permanent accounts, and state which ones are closed. Describe the purpose of the closing process.
Dec 2nd, 2014

Temporary accounts are revenues and expenses. These accounts begin with a zero balance at the beginning of each accounting period. Temporary accounts are closed at the end of each accounting period. 

Permanent accounts are the assets, liabilities, and owner's equity accounts. These accounts are not closed at the end of an accounting period.  

Dec 2nd, 2014

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Dec 2nd, 2014
May 23rd, 2017
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