Describe the purpose for the preparation of trial balance.

Explanation

Here area unit a number of the points which is able to justify the aim of the preparation of balance.

(i) Ascertaining the pure mathematics Accuracy: it's believed that if the full of each the edges of the balance is matched the balance is free from pure mathematics error.

(ii) facilitate to induce the outline of Ledger Accounts: balance acts as a consolidated statement, that provides a listing of all the ledger accounts

(iii) Helps in getting ready monetary Statement: each businessperson wish to understand concerning the results of his efforts at the top of the accounting amount. this may solely be achieved through the plan. an attempt balance facilitate in preparation of commerce and P&L Account and record.

(iv) facilitate in Locating Errors: once the full of each the edges of an attempt balance doesn't tally, we have a tendency to come back to understand that a minimum of one error has occurred. and so efforts area unit created during this reference to verify the error and match the balance.