A trial balance is prepared to
- detect fraud
- ascertain losses in a trading period
- determine opening capital
-
test arithmetical accuracy of ledger entries
The correct answer is: D
Explanation
Preparing a trial balance for a company serves to detect any mathematical errors that have occurred in the double-entry accounting system. If the total debits equal the total credits, the trial balance is considered to be balanced, and there should be no mathematical errors in the ledgers.