Asked by Johnny Reyes on Jul 13, 2024

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Accounts reported on the balance sheet that are carried forward from year to year are known as permanent accounts.

Permanent Accounts

Financial accounts whose balances are carried over into the next accounting period, including assets, liabilities, and equity accounts.

  • Diagnose the classification and identity of various balance sheet and income statement accounts.
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Shelbie BachaiJul 13, 2024
Final Answer :
True
Explanation :
Permanent accounts are also known as real accounts and include assets, liabilities, and equity accounts that are not closed at the end of the accounting period. They are carried forward from year to year and their balances are used to calculate financial ratios and evaluate the financial position of the company.