Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Errors in Trial Balance The following preliminary unadjusted trial balance of Ranger Co., a sports ticket agency, does not balance: Ranger Co. Unadjusted Trial Balance

image text in transcribedimage text in transcribed

Errors in Trial Balance The following preliminary unadjusted trial balance of Ranger Co., a sports ticket agency, does not balance: Ranger Co. Unadjusted Trial Balance August 31, 20Y1 Debit Credit Balances Balances Cash 63,290 Accounts Receivable 29,750 10,700 Prepaid Insurance Equipment 10,000 Accounts Payable 17,340 3,860 Unearned Rent Common Stock 57,160 Retained Earnings 51,700 Dividends 13,300 Service Revenue 112,020 56,100 Wages Expense Advertising Expense 9,620 Miscellaneous Expense 1,900 Totals 234,820 201,920 When the ledger and other records are reviewed, you discover the following: (1) the debits and credits in the cash account total $63,290 and $45,440, respectively; (2) a billing of $3,350 to a customer on account was not posted to the accounts receivable account; (3) a payment of $2,410 made to a creditor on account was not posted to the accounts payable account; (4) the balance of the unearned rent account is $6,760; (5) the correct balance of the equipment account is $100,000; and (6) each account has a normal balance. Prepare a corrected unadjusted trial balance. For those boxes in which no entry is required, leave the box blank. When the ledger and other records are reviewed, you discover the following: (1) the debits and credits in the cash account total $63,290 and $45,440, respectively; (2) a billing of $3,350 to a customer on account was not posted to the accounts receivable account; (3) a payment of $2,410 made to a creditor on account was not posted to the accounts payable account; (4) the balance of the unearned rent account is $6,760; (5) the correct balance of the equipment account is $100,000; and (6) each account has a normal balance. Prepare a corrected unadjusted trial balance. For those boxes in which no entry is required, leave the box blank. Ranger Co. Unadjusted Trial Balance August 31, 20Y1 Debit Balances Credit Balances 64,290 X Cash Accounts Receivable 29,750 x 10,700 Prepaid Insurance Equipment Accounts Payable 10,000 x 17,340 x Unearned Rent 3,860 x Common Stock 57,160 51,700 ained Earnings Dividends 13,300 Service Revenue Wages Expense Advertising Expense Miscellaneous Expense

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_2

Step: 3

blur-text-image_3

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

Green Energy Audit Of Buildings A Guide For A Sustainable Energy Audit Of Buildings

Authors: Giuliano Dall’O’

2013 Edition

1447161726, 978-1447161721

More Books

Students also viewed these Accounting questions