Question
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.
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, 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:
- Prepare a corrected trial balance as of March 31, of the current year.
- Does the fact that the trial balance in (1) is balanced mean that there are no errors in the accounts? Explain.
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