Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Each of the listed accounts should have a normal balance per the general ledger. An examination of the ledger and journal reveals the following errors.

Each of the listed accounts should have a normal balance per the general ledger. An examination of the ledger and journal reveals the following errors.

  • Cash received from a customer on account was debited for $570, and Accounts Receivable was credited for the same amount. The actual collection was for $750.

**I debited Cash & credited A/R but I'm not sure how to calculate the amounts. **

  • The purchase of a computer printer on account for $649was recorded as a debit to Supplies for $649and a credit to Accounts Payable for $649.

** I debited supplies and credited A/P but not sure who to calculate the right amount **

  • Services were performed on account for a client for $890. Accounts Receivable was debited for $890and Service Revenue was credited for $89.

** I'm not sure why A/R shouldn't be debited since the service was performed on account - unless it was meant to be debited from Unearned Service Revenue? **

  • A payment of $214for telephone charges was recorded as a debit to Office Expense for $214and a debit to Cash for $214.

** I debited expenses from Office Expense and got that correct, however I when I debited the cash account that was incorrect. Could it mean that I would credit Owner's Capital? Nothing was said it was paid on account, so I assumed it would be cash? ***

  • When the Unearned Service Revenue account was reviewed, it was found that service revenue amounting to $474 was performed prior to June 30 (related to Unearned Service Revenue).

** I'm lost on how to journalize this one ***

  • A debit posting to Salaries and Wages Expense of $819was omitted.

** Should I not logg this? **

  • A payment on account for $206was credited to Cash for $206and credited to Accounts Payable for $260.

** Shouldn't this be a debit to A/P and a credit to cash? **

  • A dividend of $724was debited to Salaries and Wages Expense for $724and credited to Cash for $724.

** I debited the Dividends account, but got it incorrect when I tried crediting cash and owner's captial accounts.

Correct the trial balance.

I need assistance calculating the totals.

image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Using Microsoft Excel And Access 2013 For Accounting

Authors: Glenn Owen

4th Edition

1305161858, 9781305161856

More Books

Students also viewed these Accounting questions

Question

The feeling of boredom.

Answered: 1 week ago