Which of the following statements is true of a trial balance?
A)A trial balance has the same format as a balance sheet.
B)A trial balance presents data in debit and credit format.
C)A trial balance shows total amounts of assets, liabilities, but not equity.
D)A trial balance is prepared after the balance sheet.

Question

Quizplus · Accepted Answer

A trial balance is a list of all the accounts in the ledger with their debit or credit balance. It is used to ensure that the total of all debits equals the total of all credits, and to identify any errors that may have been made in the recording of transactions. Therefore, it presents data in debit and credit format.

Which of the Following Statements Is True of a Trial