Final answer:
The name given to the entries made at the end of a period to correct accounts before financial statements are prepared is adjusting entries.
Step-by-step explanation:
The name given to the entries that are made at the end of a period to correct accounts before financial statements are prepared is Adjusting entries. Adjusting entries are necessary to ensure that the financial statements reflect the true financial position of the company. These entries are made to adjust revenue and expense accounts as well as assets and liabilities accounts.
For example, let's say a company has not yet recorded depreciation expense for the current period. An adjusting entry would be made to recognize the depreciation expense and reduce the value of the company's assets. This adjustment ensures that the financial statements accurately reflect the decrease in the value of the assets.
Overall, adjusting entries play a crucial role in ensuring the accuracy of financial statements by capturing the correct financial information to be presented to investors, creditors, and other stakeholders.