The purpose of the post-closing trial balance is to
A) ensure that all adjusting entries were made.
B) prove the equality of the balance sheet account balances that are carried forward into the next accounting period.
C) prove the equality of the income statement account balances that are carried forward into the next accounting period.
D) list all the balance sheet accounts in alphabetical order for easy reference.

Question

Quizplus · Accepted Answer

The post-closing trial balance is prepared after closing entries are made and its main purpose is to prove the equality of the balance sheet account balances that are carried forward into the next accounting period. It ensures that debits equal credits after closing entries are made, indicating that the ledger is in balance for the start of the new accounting period.

The Purpose of the Post-Closing Trial Balance Is to