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View Full Version : Business - new balance sheet please help!


rimmel
Jan 6, 2011, 06:29 PM
So I previously asked a question about balancing a trial balance, and I finally figured that out, but now I am stuck on doing a new balance sheet. It will not balance. Aren't you supposed to put the original accounts in a balance sheet with the new amounts? I don't know if whoever reads can go to my original question and see it; my user name is rimmel or maybe you can look under business or something, I don't know but I need help! Thanks!! :)

pready
Jan 6, 2011, 10:44 PM
The only accounts that go on a balance sheet is permanent accounts, not Income Statement accounts:

You need to do an Income Statement first so that you can add Net Income to your Retained Earnings.

If your balance sheet is not balancing and your adjusted trial balance is in balance you probably missing Net Income, which will be the difference between your debits and credits on your balance sheet and your income statement. Net Income will be a debit on the income statement and a credit on the balance sheet so that it will transfer from the income statement to the balance sheet.