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Week 4 Discussion

Read the textbook, lecture notes and all other posts BEFORE you post. Review the chart of accounts listed at the back of the textbook. Choose TWO SPECIFIC accounts, one that IS closed AND one that IS NOT closed each period. Then discuss the following for each account IN YOUR OWN WORDS:

1. What is the purpose of the account (if another student has already used your example, please choose a different one)?

2. What is the normal balance of the account (debit or credit)?

3. For the account that IS closed, should it be debited or credited to close it?

4. For the account that IS NOT closed, why isn’t it closed?

We will continue to dig into your example during the week.

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