Account 問題(急)
2010-10-20 7:42 pm
Explain whether all transactions involving revenue or expenses require adjusting entries at the end of the accounting period. If not, what is the distinguishing characteristic of those transactions that do require adjusting entries?
回答 (1)
2010-10-30 7:05 am
✔ 最佳答案
Since revenues and expenses are temporary accounts. They have to reset at the end of the accounting period so there is zero balance for the next accounting period. Also, some of the revenues and expenses are paid or spended at accruals and in advance. Therefore, those transcations have to re-calculate for the closing entries.
參考: principal of accounting
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