A student beginning the study of accounting prepared a trial balance in which two unusual features appeared.

Question:

A student beginning the study of accounting prepared a trial balance in which two unusual features appeared. The Buildings account showed a credit balance of $20,000, and the Accounts Payable account a debit balance of $100. Considering each of these two abnormal balances separately, state whether the condition was the result of an error in the records or could have resulted from proper recording of an unusual transaction. LO5

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Accounting The Basis For Business Decisions

ISBN: 9780070415515

5th Edition

Authors: Robert F. Meigs, Walter B Meigs

Question Posted: