Which of the following is TRUE if the total of the Adjusted Trial Balance debit column exceeds the total of the Adjusted Trial Balance credit column by $12,000?
A) The company has a net loss of $12,000.
B) The company has net income of $12,000.
C) There is an error.
D) None of the above.

Question

Quizplus · Accepted Answer

When the debit column exceeds the credit column in the Adjusted Trial Balance, it indicates an error in the accounting entries because the fundamental principle of double-entry bookkeeping is that total debits must equal total credits. This discrepancy does not directly indicate profit or loss.

Which of the Following Is TRUE If the Total of the Adjusted