Trial Balance
✏️ In one line
A trial balance lists every ledger balance on one date, to check that total debits equal total credits.
📖 Story time
- At the end of the month, Meera lists all her ledger balances on one page.
- Debit balances: Cash ₹10,000, Purchases ₹12,000, Rent ₹3,000. Total ₹25,000.
- Credit balances: Capital ₹20,000, Sales ₹5,000. Total ₹25,000.
- Both totals match, so her ledger arithmetic looks right.
🎯 Your turn
In a trial balance, which side does each balance usually go on?
Drag each card into a box, or tap a card and then a box.
Nice! Spot on! Assets and expenses have debit balances; capital, income and liabilities have credit balances.
Not quite. Hint: Creditors are people the shop owes, so that's a liability.
What is the main purpose of a trial balance?
Nice! Correct. If debits = credits, the ledger arithmetic is probably right.
Not quite. Hint: It's a 'trial', a check.
If a trial balance agrees, it proves there are no errors at all.
Nice! Right, false! Some errors hide even when totals match, like forgetting a transaction completely.
Not quite. Hint: What if Meera forgot to write a sale on both sides?
Meera: Meera's trial balance shows debits of ₹48,000 and credits of ₹50,000.
What should she do?
Nice! Yes. A difference means something was posted or added wrongly. Time to check!
Not quite. Hint: The totals should match exactly.