- 1 Marks
Question
A collection of ledger balances is used in preparing?
Answer
Trial Balance
Explanation: A trial balance is prepared by compiling the balances from all ledger accounts. It is a summary that lists all the debits and credits in the general ledger, used to check the accuracy of the accounting entries and to ensure that the debits equal the credits.
- Tags: Ledger Balances, Trial Balance
- Level: Level 1
- Topic: Trial Balance: Usefulness and Limitations
- Series: NOV 2011
- Uploader: Theophilus