If the Trial Balance Does Not Balance,several Steps Can Be

question 51

Multiple Choice

If the trial balance does not balance,several steps can be taken to find the error.Which step will probably NOT help you find the error?

• A)Tracing each account back and forth from the journal to the ledger.
• B)Divide the out-of-balance amount by 2.
• C)Divide the out-of-balance amount by 9.
• D)Divide the out-of-balance amount by 5.

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Definitions:

Variable Labor Cost

Costs for labor that change in proportion to the level of production or sales in a company.

Break-even Point

The point at which total costs and total revenue are equal, meaning there is no net loss or gain, and a business is not making a profit but not losing money either.

Contribution Format

A method of income statement presentation where costs are separated into variable and fixed categories.

Income Statement

A financial statement that reports a company's financial performance over a specific period, detailing revenue, expenses, and profits.