FINAL ADJUSTMENTS IN SPORT
We ended the last chapter with a look at how to construct a trial balance. The trial balance not only helps us to check the arithmetical accuracy of our bookkeeping but enables us to prepare basic accounts (as you saw). The information contained in these basic financial statements can help us answer the three main questions which are commonly asked by owners:
1 What profit has the organisation made? 2 How much money does the organisation owe to others? 3 How much money is owed by others to the organisation?