Question

How are trial balance and balance sheet different and would a business owner use them.

Answer 1

Ans . Trial balance and Balance sheet is different because many reasons for that. Some different are given below. and every business owner use trial balance and balance sheet.

S.No	TRIAL BALANCE	BALANCE SHEET
1.	Trial balance show balance of all ledgers.	Balance sheet show balance only personal and real account.
2.	Trial balance check the arithmetical accuracy.	Balance sheet show financial position.
3.	Trial balance show opning stock	Balance sheet show closing stock
4.	Trial balance is a list of balances extracted from the ledger accounts.	Balance sheet is a statement of assets and liabilities.
5.	Trail Balance do not show any due income and expenses.	In Balance sheet expenses due but not paid show on the libilities side and income due but not received show on the assets side.