Professional Documents
Culture Documents
Balance
• Enduring Understandings:
• The trial balance is proof that total
debits = total credits in the ledger.
• To error is human.
• Essential Questions:
• How do you prepare a trial balance?
• How do you find and correct errors in
the trial balance?
Section 3: Preparing a Trial
Balance
• Objectives:
• Demonstrate how to prepare a trial
balance.
• Analyze business transactions using
prior knowledge of the four steps and
the rules to debits and credits
• Journalize and post business
transactions
Section 3: Preparing a Trial
Balance
• Objectives:
• Locate and identify journal entries that
are incorrect
Post
Date Description Ref Debit Credit
Jan 1 Cash in Bank $25,000
Mrs. Nemec, Capital $25,000
Correcting in the Ledger, if
Journal Entry is correct
Balance
Post
Date Description Debit Credit
Ref Debit Credit
Jan 1 G1
$25,000 $25,000
A Correcting “Entry” is made
when…..
$1,500 $1,500
However the Journal Entry that
was recorded is…
Post
Date Description Ref Debit Credit
Feb 15 Advertising Expense 405 $1,500
Cash in Bank 101 $1,500
Acct Name: Advertising Expense
Balance
Post
Date Description Debit Credit
Ref Debit Credit
Jan 1 G1
$20,000 $20,000
Feb 15 G2
$1,500 $21,500
Acct Name: Rent Expense
Balance
Post
Date Description Debit Credit
Ref Debit Credit
Balance
Post
Date Description Debit Credit
Ref Debit Credit
Jan 1 G1
$20,000 $20,000
Feb 15 G2
$1,500 $21,500
Balance
Post
Date Description Debit Credit
Ref Debit Credit
Post
Date Description Ref Debit Credit
May 10 Computer Equipment 120 $1,500
Cash in Bank 101 $1,500
Check 8099
10 G6 $1,500 $4,500
Correcting
20 G6 $1,500 $3,000
Entry
Account Name: Office
Equipment
Balance
Post
Date Description Debit Credit
Ref Debit Credit
May 1 Balance
$700
Correcting
20 G6 $1,500 $2,200
Entry