Balances that form the Trial Balance - JSS3 Business studies Lesson Note

The trial balance includes balances from all ledger accounts, which can be categorized into:

• Assets: Resources owned by the company (e.g., cash, accounts receivable, inventory).
• Liabilities: Obligations owed by the company (e.g., accounts payable, loans payable).
• Equity: Represents the owners' residual interest in the company (e.g., owner's capital).
• Income: Revenue earned by the company (e.g., sales revenue).
• Expenses: Costs incurred to generate revenue (e.g., salaries expense, rent expense).