1. Purpose of the Post-Closing Trial Balance
The Post-Closing Trial Balance is the final check run at the very end of the accounting cycle. It is prepared after all closing entries have been posted to the ledgers.
2. Structural Composition
Because all revenue, expense, and drawings accounts have been cleared to zero, this trial balance only contains permanent balance sheet accounts: assets, liabilities, and the updated capital balance.
Alpha Trading Company
Post-Closing Trial Balance - December 31, 2026
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Account Title Debit ($) Credit ($)
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Non-Current Assets (At Original Cost) 183,000
Accumulated Depreciation Accounts 19,500
Inventory (Closing Valuation Balance) 22,000
Accounts Receivable Control 14,500
Allowance for Doubtful Accounts 450
Prepaid Expenses Ledger 2,500
Cash and Liquid Reserves 11,350
Accounts Payable Control 11,200
Accrued Expense Liabilities 1,200
Bank Overdraft Balances 1,500
Long-Term Financial Mortgage Loans 20,000
Final Updated Owner's Capital Account 179,500
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TOTALS $233,350 $233,350
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3. Setting Up the Next Accounting Period
The balancing totals on this sheet confirm that the general ledger is clean, balanced, and ready to record transactions for the new financial year.