The trial balance has two-column . In a trial balance the debit balances listed in one column and all the credit balances listed in the other. First all transactions for the period are journalized and posted to the general ledger.

Then the trial balance is prepared .

Key to preparing a trial balance is making sure that all the account balances are listed under the correct column. The appropriate columns are as follows:

Assets = Debit balance

Liabilities = Credit balance

Expenses = Debit Balance

Owners Equity = Credit balance

Revenue = Credit balance