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(Corrected Trial Balance) The trial balance of Geronimo Company does not balance. Your review of the ledger reveals the following: (a) Each account had a
(Corrected Trial Balance) The trial balance of Geronimo Company does not balance. Your review of the ledger reveals the following: (a) Each account had a normal balance. (b) The debit footings in Prepaid Insurance, Accounts Payable, and Property Tax Expense were each understated $1,000. (c) A transposition error was made in Accounts Receivable and Service Revenue; the correct balances for Accounts Receivable and Service Revenue are $2,750 and $6,690, respectively. (d) A debit posting to Advertising Expense of $300 was omitted. (e) A $3,200 cash drawing by the owner was debited to Geronimo, Capital, and credited to Cash. GERONIMO COMPANY Trial Balance April 30, 2010 Debit Credit Cash $2,100 Accounts Receivable 2,570 Prepaid Insurance 700 Equipment $8,000 Accounts Payable 4,500 Property Tax Payable 560 Geronimo, Capital 11,200 Service Revenue 6,960 Salaries Expense 4,200 Advertising Expense 1,100 Property Tax Expense 800 __________ __________ $18,190 $24,500 Prepare a correct trial balance. (If answer is zero, please enter 0, do not leave any fields blank.) GERONIMO COMPANY Trial Balance April 30, 2010 Debit Credit Cash Accounts Receivable Prepaid Insurance Equipment Accounts Payable Property Tax Payable Geronimo, Capital Geronimo, Drawing Service Revenue Salaries Expense Advertising Expense Property Tax Expense $
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