What is a 'trial balance' used for?

A trial balance is a crucial accounting tool used to verify that the total debits equal the total credits in the accounting records after all transactions have been recorded. This document lists all the accounts from the general ledger along with their respective balances, allowing accountants to check for mathematical accuracy in their bookkeeping. By ensuring that debits and credits are balanced, the trial balance serves as a preliminary check before the financial statements are prepared, helping to identify any discrepancies that may need to be corrected.

While summarizing cash transactions, evaluating profitability, and preparing for audits are important aspects of accounting, they do not specifically pertain to the primary function of the trial balance, which focuses on the equality of debits and credits. Hence, the correct choice emphasizes the fundamental role of maintaining accurate accounting records and ensuring proper financial reporting.