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What is a requirement for a profit and loss account?

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What is a requirement for a profit and loss account?

A.

The balance has to be carried forward from one fiscal year to the next fiscal year.

B.

It must be set as a cash account.

C.

The balance has to be cleared at the end of each fiscal year.

D.

It must be located in the first three drawers of the chart of accounts.

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