Question
n the postclosing trial balance, only the
accounts are listed.
accounts are listed.
Answers
GPT-4o mini
In the post-closing trial balance, only the **permanent accounts** (also known as balance sheet accounts) are listed. These accounts include:
1. **Assets**: Such as cash, accounts receivable, inventory, and property.
2. **Liabilities**: Such as accounts payable, notes payable, and other obligations.
3. **Equity**: Such as common stock, retained earnings, and additional paid-in capital.
Temporary accounts (also known as nominal accounts), such as revenues, expenses, and dividends, are not included in the post-closing trial balance because they have been closed out to the retained earnings account at the end of the accounting period. The purpose of the post-closing trial balance is to ensure that the books are still in balance after the closing entries have been made.
1. **Assets**: Such as cash, accounts receivable, inventory, and property.
2. **Liabilities**: Such as accounts payable, notes payable, and other obligations.
3. **Equity**: Such as common stock, retained earnings, and additional paid-in capital.
Temporary accounts (also known as nominal accounts), such as revenues, expenses, and dividends, are not included in the post-closing trial balance because they have been closed out to the retained earnings account at the end of the accounting period. The purpose of the post-closing trial balance is to ensure that the books are still in balance after the closing entries have been made.