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Wilm Schmidt, the owner of Wilms Window Washing Services, had difficulty getting the debits to equal credits on the January 31, 2023, trial balance. Wilms
Wilm Schmidt, the owner of Wilms Window Washing Services, had difficulty getting the debits to equal credits on the January 31, 2023, trial balance.
Wilms Window Washing Services | ||||||
Trial Balance | ||||||
January 31, 2023 | ||||||
Debit | Credit | |||||
Cash | $ | 13,500 | ||||
Accounts receivable | 11,140 | |||||
Prepaid insurance | 4,300 | |||||
Equipment | 43,000 | |||||
Accounts payable | $ | 12,800 | ||||
Wilm Schmidt, capital | 64,000 | |||||
Wilm Schmidt, withdrawals | 10,860 | |||||
Service revenues | 67,600 | |||||
Salaries expense | 33,900 | |||||
Insurance expense | 7,100 | |||||
Maintenance expense | 14,900 | |||||
Utilities expense | 7,100 | |||||
Total | $ | 145,800 | $ | 144,400 | ||
The following errors were discovered:
- Schmidt did not post a $3,800 purchase of equipment on credit.
- In posting a $2,350 collection from a credit customer, Schmidt debited Accounts Receivable and credited Cash.
- In posting a cash receipt, Schmidt correctly debited Cash for $2,580 but incorrectly credited Accounts Receivable for $8,230.
- In posting a $7,050 payment on account, Schmidt debited Accounts Payable but forgot to post the credit to Cash.
- In posting the entry for services of $3,700 performed for a customer on credit, Schmidt debited Accounts Receivable but credited Maintenance Expense.
Required: Prepare a corrected trial balance.
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