Adjusting entries are the same as correcting entries optiona

Adjusting entries are the same as correcting entries optional under generally accepted accounting principles Orarely needed in large companies needed to bring accounts up to date and match revenue and expense

Solution

Adjusting entries are passed in the reporting period end to match the income with expenses. These expenses are incurred but not due. Like, rent, utilities at the reporting period ending. Unearned revenues are recognized.

Hence, correct option is “needed to bring accounts up to date and match revenue and expenses”.