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When the trial balance indicates that the ledger is in balance, you can assume there are
no errors in the ledger.
The business or professional person using the cash basis of accounting takes the view
that there is no revenue until it is received in such a form that it can be spent.
To be sure that the debits entered in the journal are equal to the credits, the journal must
be posted.
FUTA taxes are deposited and an annual report of federal unemployment tax is filed
using Form 8109.
Expenses on the income statement could be listed in alphabetical order by dollar
amount.
If the total of the Income Statement Credit column, before determining net income or
net loss, exceeds the total of the Income Statement Debit column, the result is a net loss
for the year.
