Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

For each of the following errors, considered individually, indicate whether the error would cause the trial balance totals to be unequal. If the error would

For each of the following errors, considered individually, indicate whether the error would cause the trial balance totals to be unequal. If the error would cause the trial balance totals to be unequal, indicate whether the debit or credit total is higher and by how much. If the debit and credit totals would be equal, enter zero ("0") in the amount box. a. The payment of an insurance premium of $890 for a three-year policy was debited to Prepaid Insurance for $980 and credited to Cash for $890. Which of the following is true? The credit column on the trial balance would be higher than the debit total. If the totals on the trial balance are not equal, by how much is one column higher than the other? $ b. A payment of $2,950 on account was debited to Accounts Payable for $3,245 and credited to Cash for $3,245. Which of the following is true? The debit and credit totals of the trial balance would be equal. If the totals on the trial balance are not equal, by how much is one column higher than the other? $ c. A purchase of supplies on account for $3,870 was debited to Supplies for $3,870 and debited to Accounts Payable for $3,870. Which of the following is true? The debit column on the trial balance would be higher than the credit total. If the totals on the trial balance are not equal, by how much is one column higher than the other?

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

Advanced Level Audit And Assurance Exam Room Notes 2017

Authors: ACA Simplified

1st Edition

1545501653, 978-1545501658

More Books

Students also viewed these Accounting questions

Question

=+3. What interventions enhance personal selfdetermination?

Answered: 1 week ago

Question

Comment should this MNE have a global LGBT policy? Why/ why not?

Answered: 1 week ago