Understanding Trial Balance and Year-End Adjustments in Hospitality Finance

Finance in the Hospitality Industry
1

Contents
Introduction.................................................................................................................................................3
3.1) Assess the sources and structure of Auriel’s trial balance................................................................4
3.2) Evaluate affects of the following at the end of year adjustments......................................................7
Conclusion...................................................................................................................................................8
References...................................................................................................................................................9
2

Introduction
The main aim of the report is to explain about the understanding about the trial balance. With
that it also explains about the source and the structure of the trail balance that what all are the
sources through which the trail balance is prepared and the balance of the account is adjusted.
With that the report also deals with the explanation about the effects of various adjustments
which are done in the income statement and the balance sheet so that the effect in the overall
business position can be evaluated. For the effect the basic focus has been led on the
prepayments, depreciation, accruals and the provisions for the doubtful debts.
3