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The trial balance for a business at a given point in time typically has much more detailed information than what is depicted on the financial statements. What is the accounting concept that allows for the information from the trial balance to be condensed to what is displayed on the financial statements

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Zviko

Answer:

Going Concern Concept

Explanation:

The Information from a trial balance is usually shown at historic values and not market values. The financial statements also show the amounts in historic not Liquidation / market values.

Thus we say the entity is foreseen to be in operation in future thus it is a going concern. The concept applied therefore is the Going Concern Concept.

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