Jeff Hatton. Attorney, prepared the business's trial balance on page 61. Suppose Hatton made two errors in
Question:
Jeff Hatton. Attorney, prepared the business's trial balance on page 61. Suppose Hatton made two errors in preparing the trial balance, as follows: Error 1-Hatton erroneously listed his capital balance of $10,000 as a debit rather than as a credit. Error 2-Hatton erroneously listed Service Revenue as a credit balance of $42,000 rather than the correct amount of $4,200. Consider each error separately. 1. For each error, compute the incorrect trial balance totals for total debits and total credits. 2. Refer to the discussion of correcting trial balance errors on page 49 and show how to cor- rect each error.
Step by Step Answer:
Accounting
ISBN: 9780130906991
5th Edition
Authors: Charles T. Horngren, Walter T. Harrison, Linda S. Bamber, Betsy Willis, Becky Jones