Balancing Errors Can Be Detected by Computing the Difference Between

question 140

Essay

Balancing errors can be detected by computing the difference between total debits and total credits on the trial balance.List three actions that can then be used to find the errors.

---

Definitions:

Tax Return

The form filed with a tax authority that reports income, expenses, and other pertinent tax information. Taxes payable or refundable are also determined through this document.

Relationship Test

A criterion used in tax law to determine eligibility for dependent-related deductions and credits, based on the taxpayer's relationship to the dependent.

Member of Household Test

A criteria used to determine if someone is a qualifying relative for tax purposes, considering factors like relationship, income, and support.

Qualifying Relatives

Individuals who meet certain IRS criteria allowing a taxpayer to claim them as dependents for tax purposes, potentially reducing taxable income.