95 Chapter 2 Analyeing Transactions PR 2-5A Corrected trial balance Obj. 4 of Debit colm $550.000 The Lexington Group has the following unadjusted trial balance as of al May s1 The Lexington Group Unadjusted Trial Balance Cash Supplies Prepaid insurance... Equipment Notes Payable. Accounts Payable Common Stock, 20.350 37,000 1,100 200 171,175 36,000 26,000 94,150 429,850 15,000 Fees Earned Wages Expense 270,000 63,000 25,200 5.100 Rent Expense Miscellaneous Expense.... 608,125 636,000 The debit and credit totals are not equal as a result of the following errors: A. The cash entered on the trial balance was overstated by $7,000. 8. A cash receipt of $8,200 was posted as a debit to Cash of $2,800. C. A debit of $16,500 to Accounts Receivable was not posted. A return of $125 of defective supplies was erroneously posted as a $1.250 credit to Supplies E. An insurance policy acquired at a cost of $3,600 was posted as a credit to Prepaid Insurance. F. The balance of Notes Payable was understated by $9,000 G. A credit of $10,000 in Accounts Payable was overlooked when determining the balance of the account H. A debit of $5,000 for dividends was posted as a credit to Retained Earnings L The balance of S60.300 in Rent Expense was entered as S63.000 in the trial balance. J. Gas, Electricity, and Water Expense, with a balance of $16,350, was omitted from the trial balance. Instructions 1. Prepare a corrected unadjusted trial balance as of May 31, 2018. 2Does the fact that the unadjusted trial balance in (1) is balanced mean that there are no errors in the accounts? Explain. ns: Series B PR 2-1B Ken Jones, an architect, organized Jones Architects on April 1, 2018. During the month, Jones Architects completed the following transactions: A Entries into T accounts and trial balance Obj. 1,2,3,4 n: 0 Transferred cash from a personal bank account to an account to be used for the business in exchange for common stock, $18,000. 8. Purchased used automobile for $19,500, paying $2,500 cash and giving a note payable for the remainder C. Paid April rent for office and workroom, $3,150