Question

Which of the following lists includes all accounts that would appear in a post-closing trial balance?

a) Assets, Liabilities, Owner's Equity, Revenues, and Expenses
b) Revenues, Expenses, Dividends, Assets, and Liabilities
c) Owner's Equity, Assets, Liabilities, and Dividends
d) Revenues, Expenses, Owner's Equity, and Liabilities

Answer 1

A post-closing trial balance includes only the permanent accounts: assets, liabilities, and owner's equity. Options (a), (b), and (d) are incorrect because they include temporary accounts that are closed to owner's equity (revenues, expenses, dividends) which do not appear in the post-closing trial balance.

Step-by-step explanation:

The student has inquired about which accounts appear in a post-closing trial balance. The correct list includes assets, liabilities, and owner's equity but does not include revenue, expenses, or dividends, as these accounts are temporary and are closed to owner's equity during the closing process. Therefore, the accounts that would appear in a post-closing trial balance are:

• Assets
• Liabilities
• Owner's Equity

As a result, the answer is (c) Owner's Equity, Assets, Liabilities, and Dividends. This is because dividends, while they may be part of the owner's equity section, typically have their balance zeroed out into the retained earnings during the closing process, just like revenues and expenses.