Question

Which of the following is a permanent account, where permanent accounts include:

A) Revenue
B) Expenses
C) Dividends
D) Retained earnings

Answer 1

Retained earnings is a permanent account in accounting.

Step-by-step explanation:

The permanent account among the given options is Retained earnings.

Permanent accounts are accounts that are not closed at the end of the accounting period. They carry forward the balances from one period to the next. Examples of permanent accounts include assets, liabilities, and equity accounts such as Retained earnings.

Revenues, expenses, and dividends are temporary accounts that are closed at the end of the accounting period to the Retained earnings account.