What are the three limitations of trial balance?

The limitations of trial balance are:

  • There are certain errors which are not disclosed by a trial balance. Again the agreement of a trial balance is not a conclusive proof of the accuracy of posting.
  • A trial balance gives only condensed information of each account.
  • It does not give information about the profit or loss made by the business in the accounting period or financial position of the business as at the close of the period.