The following are the current month's balances for ABC Financial Services,Inc.before preparing the trial balance.

What amount should be shown for Common Stock on the trial balance?

Question

The following are the current month's balances for ABC Financial Services,Inc.before preparing the trial balance.

What amount should be shown for Common Stock on the trial balance?

Quizplus · Accepted Answer

B)In a trial balance,the total of debits must match the total of credits.Therefore,the balance of Common Stock can be determined by totaling the debit and the credit balances and calculating the balancing amount.
 11ea86ed_2d02_a2e9_8b27_1f67a024e4e6_TB3056_00 Common Stock = $42,500 - $16,500 = $26,000

The Following Are the Current Month's Balances for ABC Financial