1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Alex_Xolod [135]
3 years ago
11

The closing process is necessary in order to

Business
1 answer:
goldfiish [28.3K]3 years ago
5 0

Answer:

The closing process is necessary in order to confirm that net income or net loss and owner withdrawals for the period are closed into the owner's capital account.

Explanation:

Most economies around the world follow a specific accounting period which is commonly referred to as financial year or tax year. Before a new financial year begins, the accounts from the ongoing financial year have to be closed legitimately through a process called the 'closing process'. This process culminates in confirming that the net income secured or the net loss bore by the owner is included in no other account than the owner's capital account.

In order to carry out the closing process, the accountant has to commence with identifying the accounts that are required to be closed with or before the ending of the predefined financial period. He then has to record the last entries in these accounts as 'closing entries'. Once the accounts are closed, he has to calculate the trial balance and interpret the outcome. Closing of temporary accounts through a valid closing process dispenses the ease of calculating profit and loss in any given financial period coming to end.

You might be interested in
The sum of the fixed and variable production costs is a company’s
elena-s [515]
<h2>Hello!</h2>

The answer is: d. total costs

<h2>Why?</h2>

The total costs are the sum of all the costs needed to produce a good or a service. It includes both fixed and variable production costs to show us the measure of a total cost.

We can calculate the total costs using the following formula:

TotalCosts(TC)=FixedCosts(FC)+VariableCosts(VC)

Fixed costs are all the constant costs. Fixed costs can be the salary of its workers (since they are based in hours worked), structure and good/actives insurance, taxes among others.

Variable costs are all the costs that can change thru the time, depending on the production volume. For example, if the production increases, the variable costs will increase too, also, if the production decreases, the variable costs will decrease too.

Have a nice day!

6 0
3 years ago
Suppose that Jane enjoys Diet Coke so much that she consumes one can every day. Although she enjoys gourmet cheese, she consumes
Bas_tet [7]

Answer:

The answer is C.

Explanation:

Necessity goods are the goods or services that a consumer will continue buying whether income falls or the price rises. This type of goods are considered essential. The are not sensitive to price. To Jane, Diet coke is a necessity because she takes it everyday.

While luxury goods are goods that are really not essential. They are owned or bought for the sake of showing wealth or affluence. To Jane, gourmet cheese is a luxury good.

4 0
3 years ago
A _____ plan relies on a predetermined formula to distribute a share of the company's profits to eligible employees.
Naya [18.7K]
Profit sharing plan relies on a predetermined formula to distribute a share of the company's profits to eligible employees.
4 0
3 years ago
What is the difference between a layoff and being fired?
KIM [24]
Being laid off is when the company is goes through financial struggles so they have to chose people to cut off, being fired is when you did something wrong so they fire you.
4 0
3 years ago
Read 2 more answers
Tom, an experienced salesperson for road construction equipment, has been hired as the sales representative for Caterpillar Trac
ser-zykov [4K]

Answer:

The correct answer is A. To get an appointment for a second call.

Explanation:

Making an appointment with a client is not easy, it requires a method and many other attitudes. That is why it is difficult to find a good seller. As much as we are in 3.0 there are certain types of customers (b2b) whose access is the traditional 1.0.

Investigate who the decision maker is, call, make an appointment ... and visit it. The traditional techniques of generating momentum prospects cohabit with the current ones on the network. And here, friends sell digital crepes all a hundred, you have nothing to do. When the deal is face to face, requires listening skills, knowing how to be, synthesizing, pleasing, pressing and… closing. And that is not learned in a yellow airport book. It is learned by doing so and with a little method and resistance to frustration and a good organization.

3 0
3 years ago
Other questions:
  • Brothern Corporation bases its predetermined overhead rate on the estimated machine- hours for the upcoming year. Data for the m
    10·1 answer
  • Agreeable and adaptable employees are easy to
    6·2 answers
  • Heller Company offers an unconditional return policy to its customers. During the current period, the company records total sale
    10·1 answer
  • Carlos bought a building for $113,000 in 2012. he added an addition to the building for $26,000. in 2016, he sold it for $212,00
    12·1 answer
  • Deregulation occurs when the government no longer determines what role each company can play in the market and how much the comp
    13·2 answers
  • On January 1, 2016, Piper Co., purchased a machine (its only depreciable asset) for $900,000. The machine has a five-year life,
    6·1 answer
  • Suppose ABCD's stock price is currently $50. In the next six months, it will either fall to $40 or rise 8 to $60. What is the cu
    14·1 answer
  • Cobb Company produces 8,000 parts each year, which are used in the production of one of its products. The unit product cost of a
    6·1 answer
  • The ability to interact, be responsible, persevere, be a team player, be motivated, and problem solve are examples of __________
    11·2 answers
  • Discuss target market strategies. The target market strategy identifies which market segment or segments to focus on. This proce
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!