After all adjusting entries have been journalised and posted another trial balance is prepared from the ledger accounts. This later trial balance is known as the:
A) unadjusted trial balance.
B) temporary trial balance.
C) permanent trial balance.
D) adjusted trial balance.

Question

Quizplus · Accepted Answer

An adjusted trial balance proves the equality of total debit balances and total credit balances of ledger accounts after all adjustments have been made. It is also the main basis for the preparation of the financial statements.

After All Adjusting Entries Have Been Journalised and Posted Another