Question
The following trial balance of Sarasota Traveler Corporation does not balance. SARASOTATRAVELER CORPORATION TRIAL BALANCE APRIL 30, 2017 Debit Credit Cash$6,086Accounts Receivable5,300Supplies3,027Equipment6,160Accounts Payable$7,104Common Stock8,060Retained Earnings2,060Service
The following trial balance of Sarasota Traveler Corporation does not balance.
SARASOTATRAVELER CORPORATION
TRIAL BALANCE
APRIL 30, 2017
Debit
Credit
Cash$6,086Accounts Receivable5,300Supplies3,027Equipment6,160Accounts Payable$7,104Common Stock8,060Retained Earnings2,060Service Revenue5,260Office Expense4,380$24,953
$22,484
An examination of the ledger shows these errors.
1.Cash received from a customer on account was recorded (both debit and credit) as $1,380 instead of $1,830.2.The purchase on account of a computer costing $3,423 was recorded as a debit to Office Expense and a credit to Accounts Payable.3.Services were performed on account for a client, $2,310, for which Accounts Receivable was debited $2,310 and Service Revenue was credited $231.4.A payment of $155 for telephone charges was entered as a debit to Office Expense and a debit to Cash.5.The Service Revenue account was totaled at $5,260 instead of $5,340.
corrected trial balance.
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