Question

If a trial balance totals do not agree, the difference must be entered in: ( the profit and loss account, the nominal account, the capital account, A suspense account ).​

Answer 1

The difference must entered in Suspense Account.

• The aim of the trial balance is to double-check and confirm the posting of all accounting entries. The ledger account is used to build the trial balance.
• In the debit and credit columns, all balances from each ledger account are listed. Since accounting is based on the double entry scheme, both sides of the trial balance must be equal.
• If the balances vary and errors are not discovered until the accounts are closed, the discrepancy must be moved to the suspense account.