Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Effect of Errors on Adjusted Trial Balance For each of the following errors, considered individually, indicate whether the error would cause the adjusted trial balance

image text in transcribed

Effect of Errors on Adjusted Trial Balance For each of the following errors, considered individually, indicate whether the error would cause the adjusted trial balance totals to be unequal. If the error would cause the adjusted trial balance totals to be unequal, indicate whether the debitor credit total is higher and by how much. a. The adjustment for accrued wages of $5,200 was journalized as a debit to Wages Expense for $5,200 and a credit to Accounts Payable for $5,200. The totals are equal. Enter the difference between the debit and credit totals. If the totals are equal, enter a zero. b. The entry for $1,125 of supplies used during the period was journalized as a debit to Supplies Expense of $1,125 and a credit to Supplies of $1,152. The totals are unequal; the credit total is higher. Enter the difference between the debit and credit totals. If the totals are equal, enter a zero. Feedback Check My Work a. Recall that the trial balance does not provide complete proof of the accuracy of the ledger, but indicates only that debits equal credits. Though the transaction may have been handled incorrectly, did the selection of the wrong account to credit cause the debit and credit column totals to be unequal? b. Recall that the trial balance does not provide complete proof of the accuracy of the ledger, but indicates only that debits equal credits. Were the correct amounts recorded? If not, what is the difference and on which side of the T-account is it higher? On-Screen Keyboard

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

More Books

Students also viewed these Accounting questions