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6 The Trial Balance
6 The Trial Balance
6 The Trial Balance
10250 10,250
The trial balance should reveal errors where the rules of double entry have been
broken, such as:
a) One-sided entries
b) Where an entry has been posted as a credit to one account and a credit to a second
account and no debit entry has been made (or two debits and no credits)
Question Discussions
Q.1) A trial balance may still balance if some of the balances are wrong. True or false?
Q.2) In a period, sales are $140,000, purchases $75,000 and other expenses
$25,000. What is the figure for profit for the year to be transferred to the capital
account?
a) $40,000
b) $65,000
c) $75,000
d) $140,000
Q.3) If the total debits exceed the total credits in a T-account, does the account have
a debit or a credit balance?
Q.4) What does a debit balance brought down in the Cash T-account represent an
asset or a liability?
Q.5) An accountant has inserted all the relevant figures into the trade receivables
account, but has not yet balanced off the account.
Assuming there are no other entries to be made, other than to balance off the
account, what is the closing balance on the trade receivables account?
a) $425,760 DR
b) $175,535 DR
c) $425,760 CR
d) $175,535 CR
Q.6) Alpha has the following opening balances on its ledger accounts.
$
Fixtures 5,000
Trade accounts receivable 2,000
Bank accounts receivable 1,000
Loan 3,000