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Trial Balance Statement Assignment Help

A Trial Balance is a list of the balances on all the accounts in the books. It is a statement and not an account. It forms no part of the double entry nor does it appear in the actual books of accounts. Trial Balance is a statement drawn up as a test of the arithmetical accuracy of ledger accounts. It is prepared on a particular date and not for a period.

The agreement of trial Balance is not conclusive proof of the absolute accuracy of the books of accounts. Errors like the error of principle, omission or duplication, error of original entry, errors of commission, and compensating errors are not disclosed by a trial balance.

The objectives of preparing the trial balance are:

1. To ensure that there are no arithmetical errors

2. To obtain a summary of ledgers accounts

3. To facilitate the preparation of final accounts and balance sheet

Determination of Debit and credit Balance (generally)

Asset and expenses have a debit balance

Capital, liability & revenue has a credit balance

Statement of trial Balance

                        Trial balance of….. as on…..(particular date)

Particulars

L.F

Debit

Amount

Credit Amount

 

 

 

 

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