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What is the two-column summary of all the debits and credits in the Chart of Accounts?

a. Journal
b. Ledger
c. Trial Balance
d. Financial Statement

User Lenooh
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1 Answer

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Final answer:

The correct answer is the Trial Balance, which is a two-column summary listing all debits and credits from the Chart of Accounts to ensure their totals are equal.

Step-by-step explanation:

The two-column summary of all the debits and credits in the Chart of Accounts is known as the c. Trial Balance. Unlike the T-account, a trial balance is not a balance sheet and doesn't display assets and liabilities. Instead, it serves as a tool to ensure that the total debits equal the total credits in the ledger accounts, acting as an internal check mechanism within the accounting process before financial statements are prepared.

User Ifeins
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