The purpose of the post-closing trial balance is to Group of answer choices prove the equality of the temporary account balances that are carried forward into the next accounting period. list all the balance sheet accounts in alphabetical order for easy reference. prove that no mistakes were made. prove the equality of the permanent account balances that are carried forward into the next accounting period.

Question

Business

Guest

25 March, 14:07

The purpose of the post-closing trial balance is to Group of answer choices prove the equality of the temporary account balances that are carried forward into the next accounting period. list all the balance sheet accounts in alphabetical order for easy reference. prove that no mistakes were made. prove the equality of the permanent account balances that are carried forward into the next accounting period.

+3

Answers (1)

Know the Answer?

Armani Wilson · Answer 1

Prove that no mistakes were made. Prove the equality of the permanent account balances that are carried forward into the next accounting period.

Explanation:

The post-closing trial balance is the process of organizing all the balance sheet accounts whose final balance was more than $0. The idea is to verify that the debit accounts and the credit accounts are equal. In order to do so, one can simply sum all debits and all credits, and later substract, and the result should be zero.

If the result is not zero, mistakes were made and the accounts have to be reviewed.

Temporary accounts such as expenses and revenue, are not taken into account in this process.