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1. What is Trial Balance A financial report called a trial balance lists the general ledger accounts' closing balances for a given period for a corporation. accounting and taxation dubaiThe primary accounting components, such as assets, liabilities, income, expenses, equity, gains, and losses, are represented by the accounts in a trial balance. In the general ledger, it is largely utilized to establish the debits and credit balances entered from the recorded transactions. The trial balance permits the required adjusting entries to the general ledger as well as error detection. accounting and auditing dubai The trial balance is once more prepared to confirm that the totals of the debits and credits still match after the adjusting entries have been submitted. The trial balance is solely used internally and is not an official statement of the business. Trial Balance Types Three trial balance reports are created at different phases. Relative Trial Balance The general ledger's accounts are listed in the unadjusted trial balance, which is created after a period (e.g., month, quarter, year).

2. It is typically the place to begin when analyzing account balances, which is done before making correcting entries. Trial Balance Modification The list of account balances in the adjusted trial balance, which may include accrued and prepaid expenses, follows adjusting entries. Balance of Post-Closure Trials All balance sheet accounts are listed in the post-closure trial balance at the end of the reporting period. It confirms that the sum of all debit balances equals the sum of all credit balances. which outcome