Question

“Agreement of trial balance is not a conclusive proof of accuracy of accounts”, Comment.

Answer 1

Agreement of trial balance only proves that total debits equal total credits, ensuring arithmetic accuracy. However, it does not guarantee the absence of errors like:

• Transactions not recorded or posted,
• Wrong accounts used,
• Wrong amounts recorded but balanced,
• Duplicate entries.

Hence, a trial balance agreement is not conclusive proof of complete accuracy of accounts.