Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please I request with you kindly to solve this question, help me. thanks more. The debit and credit totals are not equal as a result

please I request with you kindly to solve this question, help me. thanks more.

image text in transcribed

The debit and credit totals are not equal as a result of the following errors:

a. The balance of cash was overstated by $4,400.

b. A cash receipt of $2,100 was posted as a credit to Cash of $2,100.

c. A debit of $1,750 to Accounts Receivable was not posted.

d. A return of $115 of defective supplies was erroneously posted as a $151 credit to Supplies.

e. An insurance policy acquired at a cost of $500 was posted as a credit to Prepaid Insurance.

f. The balance of Notes Payable was overstated by $4,500.

g. A credit of $250 in Accounts Payable was overlooked when the balance of the account was determined.

h. A debit of $1,800 for a withdrawal by the owner was posted as a debit Peter O'neal, the capital.

i. The balance of $6,300 in Advertising Expense was entered as $630 in the trial balance.

j. Utilities expense, with a balance of $1,680, was omitted from the trial balance

Required:

  1. Prepare a corrected trial balance as of March 31, of the current year.
  2. Does the fact that the trial balance in (1) is balanced mean that there are no errors in the accounts? Explain.
Peter Company has the following trial balance as of March 31, 2020: $ 4.700 8.450 1.464 140 36.000 Cash Accounts receivable Supplies Prepaid insurance Equipment Notes payable Accounts payable Peter O'neal, capital Peter O'neal, drawing Professional fees Salaries expense Rent expense Advertising expense Miscellaneous expense $ 16.500 3.470 19.800 7.200 118.680 68.000 13.900 630 3.780 $ 144.264 $ 158.450

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

Audit Findings Of RAC MAC HAC And PSI Review Process

Authors: Mrs. Jyoti Sharma

1st Edition

1511689609, 978-1511689601

More Books

Students also viewed these Accounting questions

Question

The amount of work I am asked to do is reasonable.

Answered: 1 week ago

Question

The company encourages a balance between work and personal life.

Answered: 1 week ago