An adjusted trial balance

Question

Quizplus · Accepted Answer

An adjusted trial balance is prepared after all adjusting entries have been made and it proves the equality of the total debit balances and total credit balances of ledger accounts after all adjustments have been made. It is not a required financial statement under generally accepted accounting principles, and while it does not directly prepare financial statements, it provides an important step in the accounting cycle by ensuring the accuracy of the account balances before financial statements are prepared.

An Adjusted Trial Balance