Trial Balance and Errors

A trial balance is:

1. A list of all ledger balances used to check the arithmetical accuracy of the books
2. A budget
3. A bank statement
4. A final account

If the books are arithmetically correct, the trial balance's debit total should:

1. Be zero
2. Exceed the credit total
3. Be double the credit total
4. Equal the credit total

An error of omission is when:

1. The debit and credit are swapped
2. Two errors cancel out
3. A transaction is left out of the books completely
4. The wrong amount is entered in both accounts

An error of commission is when:

1. A transaction is omitted
2. Two errors cancel out
3. Capital and revenue items are confused
4. The correct amount is posted to the wrong account of the same class

An error of principle is when:

1. Figures are reversed
2. A transaction is omitted
3. The amount is wrong in both entries
4. An item is posted to the wrong class of account, such as treating a capital item as revenue

An error of original entry is when:

1. Only one side is recorded
2. The wrong amount is recorded in both the debit and the credit
3. A transaction is omitted
4. The debit and credit are reversed

A complete reversal of entries is when:

1. The wrong class of account is used
2. The amount is wrong
3. A transaction is omitted
4. The account that should be debited is credited, and vice versa