Practicing Success
The preparation of trial balance helps in: |
Judging the financial position Locating errors of all types Preparation of final accounts All of these |
Preparation of final accounts |
The correct answer is option 3- Preparation of final accounts. A trial balance is a statement showing the balances, or total of debits and credits, of all the accounts in the ledger with a view to verify the arithmetical accuracy of posting into the ledger accounts. The trial balance is prepared to fulfill the following objectives : 1. To ascertain the arithmetical accuracy of the ledger accounts. |