0 Glencoe Accounting Unit 2 Chapter 10 Copyright © by The McGraw-Hill Companies, Inc. All rights reserved. Chapter 10, Section 2 Posting Closing Entries and Preparing a Post-Closing Trial Balance What Do You Think? What do you think a post-closing trial balance is?

1 Glencoe Accounting Unit 2 Chapter 10 Copyright © by The McGraw-Hill Companies, Inc. All rights reserved. Main Idea After the closing entries are posted, a post-closing trial balance is prepared to verify that debits equal credits. You Will Learn  how to post the closing entries to the general ledger.  how to prepare a post-closing trial balance. Posting Closing Entries and Preparing a Post-Closing Trial Balance SECTION 10.2

2 Glencoe Accounting Unit 2 Chapter 10 Copyright © by The McGraw-Hill Companies, Inc. All rights reserved. Key Term  post-closing trial balance Posting Closing Entries and Preparing a Post-Closing Trial Balance SECTION 10.2

3 Glencoe Accounting Unit 2 Chapter 10 Copyright © by The McGraw-Hill Companies, Inc. All rights reserved. Completing the Eighth Step in the Accounting Cycle: Posting the Closing Entries to the General Ledger The next step in the closing process is to post closing entries to general ledger accounts. Posting Closing Entries and Preparing a Post-Closing Trial Balance SECTION 10.2

4 Glencoe Accounting Unit 2 Chapter 10 Copyright © by The McGraw-Hill Companies, Inc. All rights reserved. Posting Closing Entries and Preparing a Post-Closing Trial Balance SECTION 10.2

5 Glencoe Accounting Unit 2 Chapter 10 Copyright © by The McGraw-Hill Companies, Inc. All rights reserved. The Ninth Step in the Accounting Cycle: Preparing a Post-Closing Trial Balance Preparing a post-closing trial balance is the final step in the accounting cycle. It is prepared after the closing entries are posted in order to verify total debits equal total credits. Posting Closing Entries and Preparing a Post-Closing Trial Balance SECTION 10.2

6 Glencoe Accounting Unit 2 Chapter 10 Copyright © by The McGraw-Hill Companies, Inc. All rights reserved. The Ninth Step in the Accounting Cycle: Preparing a Post-Closing Trial Balance Posting Closing Entries and Preparing a Post-Closing Trial Balance SECTION 10.2

7 Glencoe Accounting Unit 2 Chapter 10 Copyright © by The McGraw-Hill Companies, Inc. All rights reserved. Key Term  post-closing trial balance A list of the permanent general ledger account balances; it is prepared to prove the ledger after the closing entries are posted. Posting Closing Entries and Preparing a Post-Closing Trial Balance SECTION 10.2