Which of the following is considered a permanent account?

A.    Income Statement accounts
B.    Balance Sheet accounts
C.    All ofthese
D.    None of these
 

Answer:

B .

Step-by-Step explanation

Balance sheet accounts are the accounts that are considered real accounts or permanent accounts. The accounts that are in the balance sheet presented at every year end are considered beginning balance for the following year. 

Income statement accounts are temporary accounts, meaning they are closed at every year end and will not be presented as beginning balances of the following year. The income statement accounts are closed to the income and expense summary at year end and the income and expense summary is then closed to the retained earnings or other permanent equity accounts.