Which of the following statements regarding a trial balance is TRUE?
A)A trial balance may be prepared at any time during the accounting period.
B)A trial balance is a list of all accounts used in a business with their balances.
C)A trial balance shows whether total debits equal total credits.
D)All of the above are true.

Question

Quizplus · Accepted Answer

A) A trial balance can be prepared at any time during the accounting period, but it is usually prepared at the end of an accounting period.
B) A trial balance is a list of all accounts used in a business with their balances.
C) A trial balance shows whether the total debits equal the total credits. This is the fundamental principle of double-entry accounting, where every transaction has equal debits and credits. Therefore, the two sides of the trial balance should always balance out.

Which of the Following Statements Regarding a Trial Balance Is