Final answer:
It is true that the ledger contains both permanent and temporary accounts. Permanent accounts carry their balances into the next period, while temporary accounts are closed at the end of the period.
Step-by-step explanation:
It is true that the ledger contains both permanent and temporary accounts. Permanent accounts are those that carry their balance over into the next accounting period, such as assets, liabilities, and equity accounts. Temporary accounts, on the other hand, are those that are closed at the end of the accounting period, their balances transferred to permanent accounts. Examples of temporary accounts include revenue, expense, and dividends accounts. At the end of the fiscal year, balances in temporary accounts are cleared to zero by transferring them to permanent accounts, a step in the process known as "closing the books".