Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The debit and credit totals are not equal as a result of the following errors: a. The cash entered on the triat balance was overstated

image text in transcribed
image text in transcribed
image text in transcribed
The debit and credit totals are not equal as a result of the following errors: a. The cash entered on the triat balance was overstated by $7,000. b. A cash receipt of $8,200 was posted as a debit to Cash of $2,800. c. A debit of $16,500 to Accounts Receivable was not posted. d. A return of $125 of defective supplies was erroneously posted as a $1,250 credit to Supplies. e. An insurance policy acquired at a cost of $3,600 was posted as a credit to Prepaid Insurance. f. The balance of Notes Payable was understated by $9,000. 9. A credit of $10,000 in Accounts Payable was overiooked when determining the balance of the account. h. A debit of $5,000 for owner withdrawals was posted as a credit to Sidney Lexington, Capital. 1. The balance of $60,300 in Rent Expense was entered as $63,000 in the trial balance. 1. Gas, Electricity, and Water Expense, with a balance of $16,350, was omitted from the trial balance, Required: 1. Prepare a corrected unadjusted trial balance as of May 31, 20v6. List all accounts in the order of Assets, Liabilities, Owner's equity, Revenues, and Expenses. If an amount box does not require an entry, leave it black. 2. Does the fact that the unadjusted trial balance in (1) is balanced mean that there are no errors in the accounts? Corrected trial balance The Lexington Co. has the following unadjusted trial balance as of May 31, 20Y6: The cepit and credit totas are not equal as a result of the following errors

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

Survey Of Accounting

Authors: James D. Stice, W. Steve Albrecht, Earl Kay Stice, K. Fred Skousen

1st Edition

0538846178, 978-0538846172

More Books

Students also viewed these Accounting questions

Question

Sketch the graph of the equation by point plotting. y = x + 2

Answered: 1 week ago

Question

2. Use different groups for different subjects.

Answered: 1 week ago