(a) What is a Trial Balance?
(b) State two purposes for preparing a trial balance;
(c) List and explain four errors that are not; disclosed by a trial balance.
Many of the candidates performed very well in this question. A few candidates however, could not define Trial Balance appropriately.
The expected definition is;
Trial Balance is a statement that tests the arithmetic accuracy of the debit and credit balances extracted from the ledgers at a particular dates; it also tests the arithmetical accuracy of the ledger accounts.
