Accounting I Chapter 6

Only accounts with a balance are listed in the Trial Balance columns of a work sheet.

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Adjusting entries must be posted to the general ledger accounts.

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Many businesses choose a one-year fiscal period that ends during a period of high business activity.

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Two financial statements are prepared from the information on the work sheet.

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If the Trial Balance columns are not equal and the difference can be evenly divided by 9, then the error most likely is a transposed number.

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A fiscal period is also known as an accounting period.

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All fiscal periods are one year long.

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All fiscal periods must begin on January 1.

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A trial balance is a proof of the equality of debits and credits in a general ledger.

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The column in which an account balance is recorded on a trial balance shows whether the account has a debit or credit balance.

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