Problem 2

The following trial balance as of 12/31/01 of Fish Fingers & Custard, LLC does not balance

Cash - $5,912

A/R - $5,240

Supplies - $2,967

Equipment - $6,100

Accounts Payable - $7,044

Common Stock - $8,000

Retained Earnings - $2,000

Service Revenue - $5,200

Office Expense - $4,320

An examination of the ledger shows these errors:

1. All balances were normal
2. The purchase on account of a computer costing $3,200 was recorded as a debit to Office Expense and a credit to A/P.
3. Services were performed on account for a client, $2,250, for which A/R was debited $2,250 and Service Revenue was credited $225
4. A payment of $95 for telephone charges was entered as a debit to Office Expense and a debit to Cash.
5. The Service Revenue account was totaled at $5,200 instead of $5,280

Prepare a corrected trial balance, Income Statement and Balance Sheet for 12/31/01.