Trial Balance Q&A

Written by True Tamplin, BSc, CEPF®

Reviewed by Subject Matter Experts

Updated on March 26, 2023

Test your knowledge of trial balances by answering the 8 short questions given below. We suggest that you try to answer each question yourself before clicking on the "See answer" button.

If you find it difficult to answer any of these questions, consider reading the trial balance article available in this website's explanation section.

1. What is a trial balance and why is it prepared?

2. When do businesses prepare a trial balance?

3. If an account has a debit balance, where should it be placed in the trial balance?

4. If an account has a credit balance, where should it be placed in the trial balance?

5. What does an agreed trial balance tell us?

6. What does a disagreed trial balance tell us?

7. Which accounts do not need to be transferred to the trial balance?

8. Which two methods are used to prepare the trial balance?

Trial Balance Q&A FAQs

About the Author

True Tamplin, BSc, CEPF®

True Tamplin is a published author, public speaker, CEO of UpDigital, and founder of Finance Strategists.

True is a Certified Educator in Personal Finance (CEPF®), author of The Handy Financial Ratios Guide, a member of the Society for Advancing Business Editing and Writing, contributes to his financial education site, Finance Strategists, and has spoken to various financial communities such as the CFA Institute, as well as university students like his Alma mater, Biola University, where he received a bachelor of science in business and data analytics.

To learn more about True, visit his personal website or view his author profiles on Amazon, Nasdaq and Forbes.