Accounting Dictionary - Letter T

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Temporary accounts
(also called nominal accounts) are closed at the end of each accounting period. At the beginning of the next accounting period these accounts have zero balances and can be used to accumulate transactions for that period's activity. Temporary accounts are mostly income statement accounts, except for a distribution account which is an equity statement account.
Go Back
Don't see the term you are looking for? Try searching our entire website:
Not a member?
See why people join our
online accounting course:
Free Study Notes
Download free accounting study notes by signing up for our free newsletter (example):
First Name:
E-mail:
We never share or sell your e-mail to third parties.