Question

A trial balance will not balance if

A) a correcting journal entry is posted twice
B) a $50 cash dividend is debited to dividends for $500 and credit to cash for $50
C) a $300 payment on accounts payable is debited to accounts payable for $30 and credited to cash for $30
D) a transaction is not posted at all

Answer 1

The trial balance will not balance if certain errors are made in recording transactions. Therefore, the correct option is B.

Step-by-step explanation:

A trial balance will not balance if:

1. A correcting journal entry is posted twice
2. A $50 cash dividend is debited to dividends for $500 and credit to cash for $50
3. A $300 payment on accounts payable is debited to accounts payable for $30 and credited to cash for $30
4. A transaction is not posted at all

In option B, the $50 cash dividend should be debited to dividends for $50 and credited to cash for $50, not $500. This is an error in recording the transaction, which will cause the trial balance to be unbalanced.