3 & 4 - Business Transactions Flashcards
1
Q
What is a trial balance?
A
A trial balance summarises the ledger by listing all the accounts with their balances - assets first, followed by liabilities and then owner’s equity.
It is an internal document, listing all of the accounts with their related balances.
2
Q
What is a worksheet?
A
A tool used to help assemble all the information required to adjust the accounts and prepare interim financial statements.
It does not form part of the financial statements
