Question

difference in trial balance is taken to​

Answer 1

Answer:

Suspense account is the answer

Answer 2

Question :

The difference in trial balance is taken to

• The capital account
• The trading account
• The suspense account
• The profit and loss account

Answer :

(C) The suspense account

Explanation :

After transferring all the ledger account balances, if the trial balance does not tally , steps must be taken to locate and rectify errors .If the error cannot be rectified ,then the trial balance is tallied by transferring the difference between the total of debit balances and the total of credit balances to a temporary account,called suspense account for timely preparation of the financial statements. If the trial balance shows lesser debit total, suspense account will be debited. Similarly ,If the trial balance shows lesser credit total , suspense account will be credited .Later ,when errors are located and rectified ,the trial balance will get tallied.