In financial accounting, which types of accounts appear on a post closing trial balance prepared after all temporary accounts are closed?

Introduction / Context:
A post closing trial balance is a standard step in the accounting cycle. It is prepared after closing entries have been passed at the end of an accounting period. Interviewers often ask which accounts appear in this statement to test whether candidates understand the difference between temporary and permanent accounts.

Given Data / Assumptions:
- Closing entries have been made to transfer balances of all revenue, expense and drawing accounts to capital or retained earnings.
- The post closing trial balance is prepared after these closing entries are posted.
- The purpose is to ensure that debits and credits still balance and that only appropriate accounts carry forward to the next period.

Concept / Approach:
Accounts are grouped as temporary (nominal) and permanent (real). Temporary accounts include revenues, expenses and drawings, which accumulate for a specific period and are then closed to equity. Permanent accounts include assets, liabilities and owner's capital, which carry forward to the next accounting period. A post closing trial balance will therefore contain only the permanent accounts with non zero balances, confirming that all temporary accounts have been reset to zero.

Step-by-Step Solution:
Step 1: Identify temporary accounts: revenue, expense and drawing accounts used to record activity during the period.
Step 2: Identify permanent accounts: assets such as cash, receivables and equipment, liabilities such as payables and loans, and equity accounts such as capital or retained earnings.
Step 3: Recall that at period end, closing entries transfer the balances of all temporary accounts into equity so that they start next period at zero.
Step 4: Understand that after closing, temporary accounts have zero balances and therefore do not appear in the post closing trial balance.
Step 5: Conclude that only permanent balance sheet accounts with remaining balances appear on the post closing trial balance.

Verification / Alternative check:
If you look at a sample post closing trial balance, you will see accounts like Cash, Accounts Receivable, Inventory, Fixed Assets, Accumulated Depreciation, Accounts Payable, Long Term Debt and Capital. There will be no Sales Revenue, Rent Expense or Salaries Expense lines because those accounts have been closed. This visual check supports the conceptual rule.

Why Other Options Are Wrong:
Option B is wrong because revenue and expense accounts are temporary and should have zero balances after closing. Option C is wrong because mixing temporary with permanent accounts would defeat the purpose of the post closing trial balance. Option D is wrong because memorandum or budget accounts are not part of the formal general ledger balances that are carried forward and usually do not appear in trial balances.

Common Pitfalls:
Students sometimes confuse the unadjusted trial balance, the adjusted trial balance and the post closing trial balance. The unadjusted and adjusted versions can show revenue and expense balances, but the post closing one should not. Another common misunderstanding is to think that income summary appears here. In fact, income summary is itself a temporary clearing account that is closed to capital and usually has zero balance by the time the post closing trial balance is prepared.

Final Answer:
Correct option: Only permanent balance sheet accounts such as assets, liabilities and equity.