What type of balance accounts carry forward to successive accounting periods?

The correct choice refers to permanent accounts, which play a crucial role in the accounting cycle by carrying forward their balances from one accounting period to the next. These accounts typically include asset, liability, and equity accounts.

Permanent accounts retain their ending balances at the end of an accounting period and serve as the beginning balances for the next period. For example, the cash account, accounts receivable, and inventory accounts will show the cumulative figures that account for all transactions within those categories over time. This continuity allows organizations to maintain a clear record of their financial standing, ensuring that stakeholders can reference the historical performance of the company.

In contrast, temporary accounts, such as those for revenue and expenses, are closed at the end of each accounting period. Their balances reset to zero, which means they do not carry over to the next period. This is fundamental for tracking income and expenses specific to each period and assessing profitability accurately.