Answered: Explain why the ledger can still…

Explain why the ledger can still contain errors even through the trial balance is in balance. Give examples of two such types of errors

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter22: Accounting For Changes And Errors.

Section: Chapter Questions

Problem 16GI

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Question

Explain why the ledger can still contain errors even through the trial balance is in balance. Give examples of two such types of errors

Definition Definition Statement that shows the ending balance of all the ledger accounts of a firm at the end of the accounting period. The trial balance is prepared after all the entries have been posted to the ledger accounts and assists in preparing the final accounts of a firm.

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