MCQs / Q&A

Trial balance is commonly prepared?

A. Frequently during the year
B. At the end of an accounting period
C. At the end of a month
D. At the end of a year

Debit balance = Credit balance in a trial balance indicates that:

A. No error in recording transactions
B. No error in posting entries to ledger accounts
C. Account balances are correct
D. Mathematically Capital+Liabilities=Assets

Which of the following is true about a trial balance?

A. It lists down the balances of accounts
B. It lists down the balances of a balance sheet
C. It is a kind of financial statement
D. It is not a part of accounting cycle

If a transaction is completely omitted from the books of accounts, will it affect the agreement of a trial balance?

A. Yes
B. No
C. Transactions can’t be omitted
D. none of these