Adjusted Trial Balance

What is an Adjusted Trial Balance?

An adjusted trial balance is a trial balance prepared after all period-end adjustments are made.

How it Works

In the days of manual accounting systems, you needed to make several period-end checks.

First, you checked the control accounts. 

By doing this, you check one side of each transaction the business makes.

Next, you prepared a trial balance.

This made sure you hadn’t made a mistake while recording the other side of a transaction. 

After this, you made any necessary period end adjustments.

While doing this, it was easy to make a mistake.

To check for mistakes, you prepared an adjusted trial balance.

​An adjusted trial balance is the same as a regular trial balance, except it includes the balances of adjusted accounts.

© R.J. Hickman 2020