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One Purpose of Closing Entries Is to

Question 54

Multiple Choice

One purpose of closing entries is to


A) transfer the results of operations to owner's equity.
B) reduce the owner's capital account balance to zero so that the account is ready for the next period.
C) adjust the ledger account balances to provide complete and accurate figures for use on financial statements.
D) close all accounts so that the ledger is ready for the next accounting period.

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