Which of the following steps must be completed before preparing the adjusted trial balance?
A) Prepare the post-closing trial balance.
B) Post journal entries to the accounts.
C) Journalize and post the closing entries.
D) Prepare the financial statements.

Question

Quizplus · Accepted Answer

Before preparing the adjusted trial balance, it is necessary to post journal entries to the accounts. This step involves updating the ledger accounts with the transactions that have occurred, which is essential for reflecting the current account balances before making any adjustments.

Which of the Following Steps Must Be Completed Before Preparing