Learning Objective 2-4
1) The trial balance is also known as the balance sheet.
2) The trial balance verifies the equality of debits and credits.
3) A trial balance is the list of only a company's debit accounts along with their account numbers.
4) A trial balance is a list of all of the accounts of a company with their balances.
5) In a trial balance, total debits must always equal to total credits.
6) The trial balance is an internal document used only by employees of the company.
7) A trial balance summarizes a ledger by listing all the accounts with their balances at a point in time.
8) Data from a trial balance is used to prepare the three basic financial statements.
9) The trial balance is one of the three basic financial statements that are issued to external stakeholders of the business.
10) The trial balance summarizes the balances of assets, liabilities, and equity.