Of the Following,which Is an Internal Report That Will Determine

question 201

Multiple Choice

Of the following,which is an internal report that will determine if debit balances equal credit balances in the ledger?

• A)chart of accounts
• B)income statement
• C)trial balance
• D)account reconciliation

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Definitions:

GAAP

Generally Accepted Accounting Principles, a standardized set of accounting rules, standards, and procedures used in the accounting industry primarily in the United States.

Purchase Accounting

The process of consolidating and reporting the financials of a merger or acquisition by recording the assets and liabilities at their fair market values.

Business Combination

A transaction or other event in which an acquirer gains control over one or more businesses.

Consolidated Balance Sheet

A financial statement that combines the assets, liabilities, and equity of a parent company and its subsidiaries into one document.