Asked by neeranjali kallydeen on Apr 30, 2024
Verified
Beachside Realty rents condominiums and furnishings. Below is the company's adjusted trial balance on December 31. 
Explain the first step of the closing process using Beachside Realty's adjusted trial balance.
Closing Process
The closing process involves the steps taken to prepare the accounts for the next accounting period by closing out temporary accounts and moving their balances to permanent accounts.
Adjusted Trial Balance
A list of all accounts and their balances after adjusting entries have been made, used to prepare financial statements.
- Master and conduct the closing entries as part of the accounting cycle process.
Verified Answer
MM
Mukhi MitleshMay 03, 2024
Final Answer :
The three revenue accounts are debited, and the six expense accounts are credited. Because the total revenue for the period exceeds the total expenses, Retained Earnings is credited for $4,780, the amount of net income.
Learning Objectives
- Master and conduct the closing entries as part of the accounting cycle process.