The following journal entries were prepared and posted by an employee of International Marketing Company who does not have an adequate knowledge of accounting.

GENERAL JOURNAL PAGE

3 Date Description Post. Ref. Debit Credit 2019 April 1 Accounts Payable 14,300 Fees Income 14,300 Performed services on credit 2 Cash 690 Telephone Expense 690 Paid for March telephone service, Check 1917 3 Office Equipment 8,720 Office Supplies 990 Cash 10,300 Purchased file cabinet and office supplies, Check 1918 (Assume that Office Equipment and Office Supplies were recorded at the correct values.) Required: Examine the above journal entries carefully and prepare the correcting journal entries. Analyze: After the correcting journal entries have been posted, what effect do the corrections have on the companys reported assets?