What is the main purpose of a trial balance in accounting?

The main purpose of a trial balance is to ensure that total debits equal total credits in the accounting records. This is a fundamental aspect of double-entry bookkeeping, where each financial transaction affects at least two accounts—continuously maintaining the balance between debits and credits. The trial balance is typically prepared at the end of an accounting period and serves as a check to confirm that the accounting equations are correct at that point in time. If the total debits do not equal total credits, it indicates that there might be errors in the ledger entries which need to be investigated before moving forward with financial statements.

Utilizing the trial balance is essential for ensuring the integrity of the financial statements that are prepared thereafter. In contrast, other options address different aspects of accounting processes, such as summarizing performance or preparing tax returns, but these are not the primary function of a trial balance. The trial balance itself is not directly related to evaluating investment opportunities, which involves analyzing financial data for decision-making purposes rather than ensuring bookkeeping accuracy.