Which of the following accounts will not be closed to the capital account at the end of the year? a. Insurance Expense b. Fees Earned c. Utilities Expense d. Prepaid Insurance

d. Prepaid Insurance

Explanation:

At the end of the accounting year temporary accounts are closed to capital account.

Temporary accounts include revenue accounts, expense accounts, gains and losses. These accounts now begin the new year with zero balances. They are used to determine profit or loss position at year end.

Permanent accounts on the other hand are not closed, but balance is carried forward to next year.

Prepaid insurance is a permanent account and is not closed at end of year.