Of the following, which will determine if the accounting equation is in balance?
A) journal entry
B) income statement
C) trial balance
D) account reconciliation

Question

Quizplus · Accepted Answer

A trial balance is used to ensure that the accounting equation (assets = liabilities + equity) is in balance. It lists all of the general ledger account balances and confirms that the total debits equal the total credits. The other options (journal entry, income statement, and account reconciliation) can be important tools in accounting, but they do not directly indicate whether the accounting equation is in balance.

Of the Following, Which Will Determine If the Accounting Equation