5 Parts and 7 Importance of Worksheet in Accounting

The worksheet is an informal or rough document in which the auditor and accountant record information for financial statements and another account. Here we discuss the most important parts and importance of the worksheet.

Parts of a worksheet

A 10-column worksheet has the following parts:

  1. Initial Trial Balance
  2. Adjustments
  3. Adjusted Trial Balance
  4. Income Statement
  5. Balance Sheet

Importance of Worksheet

A worksheet is important for the adjustment process and making financial statements. The following points may be stated for the importance of a worksheet.

  1. Rectifying the ending balance of ledger accounts.
  2. Adjusting the trial balance.
  3. Finding the errors of posting.
  4. Roughly preparing the financial statements.
  5. Updating financial statements.
  6. Monitoring the financial statements at a glance.
  7. Accumulating the financial statements on a single sheet.
parts and importance of worksheet

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