Below are several statements about the trial balance.Which of these statements is not correct?
A)debits and credits must balance.
B)the equality of credits and debits ensures that no errors were made.
C)the post-closing trial balance includes temporary accounts only.
D)(b) and (c).

Question

Quizplus · Accepted Answer

Statement B is correct, as the equality of credits and debits ensures that the double-entry accounting system has been properly followed and no errors have been made. Statement A is also correct, as the trial balance is a list of all accounts and their balances, with debits and credits balancing each other out. However, statement C is not correct, as the post-closing trial balance includes both permanent (balance sheet) and temporary (income statement) accounts. Therefore, the best choice is D (b) and (c).

Below Are Several Statements About the Trial Balance