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C_TB1300_07 · Question #21

What happens when you run the Period-End Closing utility?

The correct answer is A. The system posts a journal entry that posts a debit or credit to each Profit and Loss account B. The system immediately transfers Profit and Loss account balances to a retained earnings C. The system clears out the Profit and Loss account balances in two stages: first to a D. After you have run the utility, you cannot post any further journal entries to the period. E. After you have run the utility, you can post further journal entries to the period but you must. See the full explanation below for the reasoning.

Question

What happens when you run the Period-End Closing utility?

Options

  • AThe system posts a journal entry that posts a debit or credit to each Profit and Loss account
  • BThe system immediately transfers Profit and Loss account balances to a retained earnings
  • CThe system clears out the Profit and Loss account balances in two stages: first to a
  • DAfter you have run the utility, you cannot post any further journal entries to the period.
  • EAfter you have run the utility, you can post further journal entries to the period but you must

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(61 responses)
  • A
    100% (61)

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