Is notes payable a permanent account?

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1007024

2026-03-28 09:00

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Any account on the balance sheet is a permanent account - 'Cash', 'Accounts Receivable', 'Accounts Payable'.

Income and expense accounts are temporary accounts because they are closed at the end of an accounting period. Examples are: 'Service Revenue', 'Office Expense', and, my personal favourite, 'Meetings and Entertainment Expense'.

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