Accounting process starts with Journalising entries then ledgers are prepared and trail balance is arrived at. After trail balance is found correct by rectifying through Bank reconciliation statement trading account and profit & loss account is prepared for calculating gross profit and net profit respectively. Balance Sheet is prepared at the end by taking net profit/loss into account and to ensure no mistake has been done while preparing the financial statements which is verified and found correct when both Assets and Liabilities side of Balance Sheet are matched with one another.