Question

What are the rules of trial balance?

Answer 1

The rules for preparing a trial balance are as follows:

1. All the assets must be recorded on the debit side
2. All the liabilities must be recorded on the credit side
3. All incomes or gains must be recorded on the credit side.
4. All the expenses must be recorded on the debit side.

Also read:

• MCQs on Trial Balance
• Difference Between Trial Balance and Balance Sheet
• How to Prepare Trial Balance

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