Match the type of journal entry to its definition Rectifies mistakes made in 8 r

ID: 2337002 • Letter: M

Question

Match the type of journal entry to its definition Rectifies mistakes made in 8 recording any other type f Transfers an amount from one account to another to recognize accruals or deferrals. 2 Formally enters beginning balances of all real accounts into the General Journal then posted toethe General Ledger. 1. Originating Transfers an amount from one 2. Adjusting 3account to another to recognize a change in that amount (i.e. from long to short term). Correcting 4. Reclassification 5. Eliminating 6. Closing 3. Initial journal entry of an event nse Transfers the balance of nominal accounts to their associated real account at the 6 11 Saved MacBook Air 20 F8 F5 8 3

Explanation / Answer

3. Correcting

Rectifies mistakes made in recording any other type of entry.

2. Adjusting

Transfers an amount from one account to another to recognize accruals or deferrals.

7. Opening

Formally enters beginning balances of all real accounts into the general journal then posted to the general ledger.

4. Reclassification

Transfers an amount from one account to another to recognize a change that amount (i.e. from long to short term).

1. Originating

Initial journal entry of an event.

6. Closing

Transfers the balances of nominal accounts to their associated real accounts at the end of the period.

8. Reversing

An optional type entry. It reverses an adjusting entry after closing to simplify accounting for a previous accrual or deferral.

5. Eliminating

Used in preparation of consolidated financial statements; offsetting debit and credit account balances to account for intercompany transactions.