What is the goal of a trial balance in accounting?

The goal of a trial balance in accounting is to prove that debits equal credits. This is essential in the double-entry accounting system, where every financial transaction is recorded in such a way that debits and credits are balanced. The trial balance is prepared by listing all the account balances of the general ledger at a specific point in time. This process helps in verifying the accuracy of the bookkeeping and ensures that the accounting equation, which states that assets equal liabilities plus equity, holds true.

If the total debits do not equal the total credits in the trial balance, it indicates that there may be an error in the accounting entries that needs to be investigated and corrected before preparing further financial statements. By adhering to the principle that debits must equal credits, accountants can ensure that the financial data is reliable and accurately reflects the company's financial position.