TB layout

LindaFLindaF New MemberPosts: 13Registered
Hi, I know there's a specific layout for the P&L and the BS,
but is there a particular order that the accounts have to go into the Trial Balance?
Looking at the practice papers I think sometimes they put the accounts in in alphabetical order, but sometimes they don't -
when I have to draw one up from blank I just put it in any old order - wonder if that's ok?

Also, looking at the practice papers, sometimes they carry down and bring down the balance, and sometimes they just carry it down- again, I wonder if it matters which method we use if it's not expressly mentioned in the question?
Thanks for looking!

Comments

  • GianniGianni Feels At Home Posts: 99Registered
    The trial balance also known as a chart of accounts does generally sit in a certain format and order. You are probably best looking at a standard Sage layout which will give you an idea. As an example though it's usual for a trial balance to be laid out with balance sheet items first and income statement second.

    In terms of for the exam, I wouldn't have thought it'd be to much of a problem what order you put them in, however you should be able to appreciate if you do it in the order above it'll be easier when preparing the subsequent financial statements.
  • LindaFLindaF New Member Posts: 13Registered
    Thanks for that tip, that's a great way to do it. Much better than trying to sort it into alphabetical!! Thanks again.
    Linda.
  • EsmeEsme Experienced Mentor Posts: 711Registered
    The balance sheet assets sit in order of liquidity from what I can remember.
  • lorilori Settling In Nicely Posts: 25Registered
    balance sheet assets lay out
    Snowy = Stock
    Day = Debtors
    Perhaps = Prepayments
    Before = Bank
    Christmas = Cash
    this is the way i find i remember it
    lori:thumbup1:
  • Paul24Paul24 Experienced Mentor Posts: 578Registered
    lori wrote: »
    balance sheet assets lay out
    Snowy = Stock
    Day = Debtors
    Perhaps = Prepayments
    Before = Bank
    Christmas = Cash
    this is the way i find i remember it
    lori:thumbup1:


    Or remember that it runs down in order of liquidity, as there are sometimes other items to go in the balance sheet you know
Sign In or Register to comment.