Answered step by step
Verified Expert Solution
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
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
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started