When preparing a trial balance, which of the following is true?

Practice Questions

1 question

Only asset accounts are included
All accounts with balances are included
Only revenue and expense accounts are included
Only liability accounts are included

Questions & Step-by-step Solutions

1 item

Q: When preparing a trial balance, which of the following is true?

Solution: When preparing a trial balance, all accounts with balances, including assets, liabilities, equity, revenues, and expenses, are included.

Steps: 5

Step 1: Understand what a trial balance is. It is a list of all accounts in the accounting system with their balances.
Step 2: Identify the types of accounts that are included in the trial balance. These are assets, liabilities, equity, revenues, and expenses.
Step 3: Gather the balances of all accounts that have amounts in them.
Step 4: List all these accounts and their balances in the trial balance.
Step 5: Ensure that the total debits equal the total credits in the trial balance.

When preparing a trial balance, which of the following is true?

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Questions & Step-by-step Solutions

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