Which of the Following Statements About the Presentation of a Trial

question 168

Multiple Choice

Which of the following statements about the presentation of a trial balance is correct?

• A)The adjusted trial balance shows the end-of-year balance for Retained Earnings.
• B)An adjusted trial balance presents account balances in the same level of detail as in the presentation of the financial statements.
• C)The order of accounts on a trial balance is as follows: assets,liabilities,stockholders' equity,dividends,revenues,and expenses.
• D)The adjusted trial balance shows all the debit and credit postings to all the ledger accounts.

---

Definitions:

Gratuitous Promise

A commitment or pledge that one person makes to another without demanding or expecting anything in return, often not legally binding.

Legal Consideration

An essential element of a contract, referring to something of value promised to another when making an agreement.

Contract Was Formed

A statement indicating that an agreement meeting all legal requirements for enforceability (offer, acceptance, consideration) has been successfully established between parties.

Consideration Requirement

A fundamental principle in contract law that requires both parties involved in a contract to exchange something of value for the agreement to be legally binding.