Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Wilm Schmidt, the owner of Wilm's Window Washing Services, had difficulty getting the debits to equal credits on the January 31, 2020, trial balance wilms

image text in transcribed
image text in transcribed
Wilm Schmidt, the owner of Wilm's Window Washing Services, had difficulty getting the debits to equal credits on the January 31, 2020, trial balance wilms Window Washing Services Trial Balance January 31, 2020 Debit Credit Cash $ 12,000 Accounts receivable 9.640 Prepaid insurance 2.800 Equipment 28,000 Accounts payable $ 7,800 Wilm Schmidt, capital 49,000 Wiln Schmidt, withdrawals 9,360 Service revenuen 60,800 Salaries expense 32,400 Insurance expense 5,600 Maintenance expense 13,400 Utilities expense 5,600 Total $118,800 $117,600 The following errors were discovered: a. Schmidt did not post a $4,400 purchase of equipment on credit. b. In posting a $1,600 collection from a credit customer, Schmidt debited Accounts Receivable and credited Cash. c. In posting a cash receipt, Schmidt correctly debited Cash for $2,360 but incorrectly credited Accounts Receivable for $6,360. d. In posting a $5,200 payment on account, Schmidt debited Accounts Payable but forgot to post the credit to Cash e. In posting the entry for services of $4,000 performed for a customer on credit, Schmidt debited Accounts Receivable but credited Maintenance Expense. Required: Prepare a corrected trial balance. WILM'S WINDOW WASHING SERVICES Trial Balance January 31, 2020 Account Titles Debit Credit Totals

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_2

Step: 3

blur-text-image_3

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

Empirical Studies On Economics Of Innovation Public Economics And Management

Authors: Mehmet Huseyin Bilgin, Hakan Danis, Ender Demir, Ugur Can

1st Edition

3319501631, 9783319501635

More Books

Students also viewed these Accounting questions