Can Financial Statements Be Prepared Directly from the Adjusted Trial

question 225

Multiple Choice

Can financial statements be prepared directly from the adjusted trial balance?

• A)They cannot.The general ledger must be used.
• B)Yes, the adjusted trial balance shows the adjusted balances from the general ledger.
• C)No, the adjusted trial balance merely proves the equality of the total debit and total credit balances in the ledger after adjustments are posted.It has no other purpose.
• D)They can because that is the only reason that an adjusted trial balance is prepared.

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