The last step before preparing financial statements is to:
A)post all entries.
B)record all transactions in the journal.
C)prepare the trial balance.
D)review source documents.

Question

Quizplus · Accepted Answer

The trial balance is used to ensure that the total debits equal the total credits in the accounting system. Once the trial balance is prepared, any errors can be corrected before the financial statements are prepared. Therefore, the last step before preparing financial statements is to prepare the trial balance.

The Last Step Before Preparing Financial Statements Is To