Trial Balance (Week 5)

Question 1

Accounting Process

Answer 1

–> Recording Transactions
–> Transfer to Ledger Accounts
–> Balance off Ledger Accounts
–> Prepare Trial Balance for financial statements

Question 2

Trade Receivables Ledger

Answer 2

–> anything customers owe on debit is entered on the debit side

–> anything they pay off is entered on the credit side

Question 3

Trade Payables Ledger

Answer 3

–> anything the company owes to the creditor is entered on the credit side

–> anything the company pays back is entered on the debit side