A trial balance that is "in balance" proves:

Question

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A trial balance that is "in balance" proves the equality of the debits and credits, which is one of the fundamental principles of double-entry accounting. It does not necessarily prove that all journal entries were properly posted to the ledger or that all transactions were properly recorded during the accounting period, but it provides an important checkpoint for identifying errors in the accounting records. The trial balance is a key step in the accounting cycle and provides a basis for preparing the financial statements.

A Trial Balance That Is "In Balance" Proves