5,720 07.10 GO < 1/167 4G+ 82% P2-4A The trial balance of the Garland Company shown below does not balance. Garland Company Trial Balance May 31, 2014 Cash Debit 3,850 Credit Accounts Receivable 2,750 Prepaid Insurance 700 Equipment 12,000 Accounts Payable 4,500 Unearned Service Revenue 560 Share Capital-Ordinary 11,700 Service Revenue 8,690 Salaries and Wages Expense 4,200 Advertising Expense 1,100 Utilities Expense 800 30,800 20,050 Your review of the ledger reveals that each account has a normal balance. You also discover the following errors. 1. The totals of the debit sides of Prepaid Insurance, Accounts Payable, and Utilities Expense were each understated 100. 2. Transposition errors were made in Accounts Receivable and Service Revenue. Based on postings made, the correct balances were 2,570 and 8,960, respectively. 3. A debit posting to Salaries and Wages Expense of 200 was omitted. 4. A 1,000 cash dividend was debited to Share Capital-Ordinary for 1,000 and credited to Cash for 1,000. 5. A 520 purchase of supplies on account was debited to Equipment for 520 and credited to Cash for 520. 6. A cash payment of 450 for advertising was debited to Advertising Expense for 45 and credited to Cash for 45. 7. A collection from a customer for 420 was debited to Cash for 420 and credited to Accounts Payable for 420. Instructions Prepare a correct trial balance. Note that the chart of accounts includes the following: Dividends and Supplies. (Hint: It helps to prepare the correct journal entry for the transac- tion described and compare it to the mistake made.) Berbagi Edit O Hapus Lainnya