trial balance Flashcards
1
Q
What is one purpose of a trial balance
A
To check the arithmetic accuracy of our ledger accounts. It checks to see that our debit entries match our credit entries.
2
Q
What is the second purpose of a trial balance
A
The information included in the trial balance is used to prepare the financial statements e.g. income statement and statement of financial position.
3
Q
assets
A
dr
4
Q
expenses
A
dr
5
Q
purchases
A
dr
6
Q
carriage in and out
A
dr
7
Q
sales returns
A
dr
8
Q
drawings
A
dr
9
Q
liabilities
A
cr
10
Q
other income
A
cr
11
Q
sales revenue
A
cr
12
Q
purchase returns
A
cr
13
Q
equity
A
cr
14
Q
loans
A
cr
15
Q
provision for depreciation
A
cr
