Once the adjusting entries are posted, the adjusted trial balance is prepared to
A) verify that the debits and credits are in balance
B) verify that the net income correctly flows into the statement of stockholders' equity from the income statement
C) verify that the net income (loss) is correct for the period
D) verify the correct flow of accounts into the financial statements

Question

Quizplus · Accepted Answer

The primary purpose of the adjusted trial balance is to ensure that total debits equal total credits after adjusting entries are made, confirming the ledger's balance.

Once the Adjusting Entries Are Posted, the Adjusted Trial Balance