Which of the Following Errors Will Cause the Trial Balance

question 6

Multiple Choice

Which of the following errors will cause the trial balance to be out of balance?

• A)An entire transaction was entered in the general journal as $27 instead of $72.
• B)An entire transaction was omitted from the general journal.
• C)The balance of an account was incorrectly computed.
• D)A debit entry was entered in the wrong debit account.

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Definitions:

Break-Even Points

The volume of production or sales at which total revenues equal total expenses, resulting in no net profit or loss, used for financial analysis and planning.

Break-Even Point

The financial stage where total revenues equal total expenses, resulting in neither profit nor loss.

Direct Labour Costs

The wages and other expenses directly tied to the manufacturing of products or services, including wages of workers directly involved in production.

Fixed Indirect Labour Costs

These are labor costs that do not directly fluctuate with the level of production or sales, such as salaries of supervisors.