Trial balance 1

An asset account shows a

• Credit balance

• Debit balance

• Credit or debit balance

Preparation of trial balances is

• Compulsory

• Optional

• Compulsory or optional

Trial balance can be prepared

• At any time of year

• At the end of year

• In the beginning of year

Trial balance is prepared from

• Ledger

• Ledgers and journal

• Ledger and cash book

• None of these

The main purpose of preparing trial balance is to check the arthimetical accuracy of double entry. Is this statement true or false

Discount received has

• Debit balance

• Credit balance

• Both debit and credit balance

Which item is shown as debit balance in trial balance

• Cash in hand

• Bank overdraft

• Rent outstanding

• Creditors

Preparation of trial balance helps in

• Judging the financial position

• Locating errors of all type

• Preparation of final account

• None of these