Asked Dec 18, 2019

What are the permanent accounts? Are permanent accounts closed in the closing process?


Expert Answer

Step 1

Permanent accounts:

The accounts which carry over the time like assets, liability, and equity accounts are called permanent accounts.

Step 2


The account which continues beyond the accounting period of a business is called a permanent account. Permanent accounts are not closed at the end of an accounting period and shown in the balance sheet ...

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