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Why closing stock figure doesn't appear in trial balance?

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Question ajoutée par Prabin Prabin
Date de publication: 2016/01/19
Sowmya Umanath
par Sowmya Umanath , accounts executive , Muthoot Fincorp ltd

Closing stock is the leftover balance out of goods which were purchased during an accounting period. Total purchases are already included in the trial balance, Hence closing stock should not be included in the trial balance again.

Shingai  Munemero
par Shingai Munemero , Assistant Accountant , Pearl Properties (2006) Ltd

Because total purchases are already included in the trial balance

Syed Jalal Ahmed
par Syed Jalal Ahmed , Accounts Manager

Has been adjusted in purchases

arslan awan
par arslan awan , Accountant , Apex Paper Corporation

Please get the basics straight make the T-Accounts / transfer the closing balance to TB and prepare income statement (or SOCI) and Balance Sheet (SOFP). COGS is (Op Stock + Purchases - Closing Stock) while Closing Stock or Inventory (evaluated at lifo etc) goes to SOFP (current assets) i am just wondering how can the TB be balanced without the Stock.

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