Total of Credit column: $525,000 Error in triad balance The following preliminary unadjusted trial balance of Ranger Co., a sports ticket agency, does not balance: Ranger Co. Unadjusted Trial Balance August 31, 2018. Debit Balance Credit Balance Cash 77,600 Accounts Receivable 37,750 Prepaid Insurance 12,000 Equipment 19,000 Accounts Payable 29,100 Unearned Rent 10,800 Common Stock 40,000 Retained Earnings 70,000 Dividends 13,000 Service Revenue 385,000 Wages Expense 213,000 Advertising Expense 16,350 Miscellaneous Expense 18,400 273,700 668,300 When the ledger and other records are reviewed, you discover the following: (1) the debits and credits in the cash account total $77,600 and $62,100, respectively; (2) a billing of $9,000 to a Customer on account was not posted to the accounts receivable account; (3) a payment of $1,300 made to a creditor on account was nut posted to the accounts payable account; (4) The balance of the unearned rent account is $5,400; (5) the correct balance of the equipment account is $190,000; and (6) each account has a normal balance. Prepare a corrected unadjusted trial balance.

BuyFind

Corporate Financial Accounting

14th Edition
Carl Warren + 2 others
Publisher: Cengage Learning
ISBN: 9781305653535
BuyFind

Corporate Financial Accounting

14th Edition
Carl Warren + 2 others
Publisher: Cengage Learning
ISBN: 9781305653535

Solutions

Chapter
Section
Chapter 2, Problem 2.18EX
Textbook Problem

Total of Credit column: $525,000

Error in triad balance

The following preliminary unadjusted trial balance of Ranger Co., a sports ticket agency, does not balance:

Ranger Co. Unadjusted Trial Balance August 31, 2018.
  Debit Balance Credit Balance
Cash 77,600  
Accounts Receivable 37,750  
Prepaid Insurance 12,000
Equipment 19,000  
Accounts Payable   29,100
Unearned Rent   10,800
Common Stock 40,000
Retained Earnings 70,000  
Dividends 13,000  
Service Revenue   385,000
Wages Expense   213,000
Advertising Expense 16,350  
Miscellaneous Expense 18,400
  273,700 668,300

When the ledger and other records are reviewed, you discover the following: (1) the debits and credits in the cash account total $77,600 and $62,100, respectively; (2) a billing of $9,000 to a Customer on account was not posted to the accounts receivable account; (3) a payment of $1,300 made to a creditor on account was nut posted to the accounts payable account;

(4) The balance of the unearned rent account is $5,400; (5) the correct balance of the equipment account is $190,000; and (6) each account has a normal balance. Prepare a corrected unadjusted trial balance.

Expert Solution

Want to see the full answer?

Check out a sample textbook solution.

Want to see this answer and more?

Experts are waiting 24/7 to provide step-by-step solutions in as fast as 30 minutes!*

*Response times vary by subject and question complexity. Median response time is 34 minutes and may be longer for new subjects.

Chapter 2 Solutions

Corporate Financial Accounting
Ch. 2 - Rules of debit and credit and normal balances...Ch. 2 - Journal entry for asset purchase Prepare a journal...Ch. 2 - Journal entry for fees earned Prepare a journal...Ch. 2 - Journal entry for dividends Prepare a journal...Ch. 2 - Missing amount from an account On August 1, the...Ch. 2 - Trial balance errors For each of the following...Ch. 2 - Correcting entries The following errors took place...Ch. 2 - Chart of accounts The following accounts appeared...Ch. 2 - Chart of accounts Innerscape Interiors is owned...Ch. 2 - Chart of accounts LeadCo School is a newly...Ch. 2 - Rules of debit and credit The following table...Ch. 2 - Normal entries for accounts During the month,...Ch. 2 - Normal balances of accounts Identify each of the...Ch. 2 - Transactions Zenith Consulting Co. has the...Ch. 2 - Journalizing and posting On October 3, 2018, Regal...Ch. 2 - Transactions and T accounts The following selected...Ch. 2 - Cash account balance During the month, Warwick Co....Ch. 2 - Account balances A. During February, 186,500 was...Ch. 2 - Retained earnings account balance As of January 1,...Ch. 2 - Identifying transactions Napa Tours Co. is a...Ch. 2 - Journal entries Based upon the T accounts in...Ch. 2 - Trial balance Based upon the data presented in...Ch. 2 - Trial balance The accounts in the ledger of...Ch. 2 - Effect of errors on trial balance Indicate which...Ch. 2 - Total of Credit column: 525,000 Error in triad...Ch. 2 - Effect of errors on trial balance The following...Ch. 2 - Errors in trial balance Identify the errors in the...Ch. 2 - Entries to correct errors The following errors...Ch. 2 - Entries to correct errors The following errors...Ch. 2 - Entries into T accounts and trial balance Marjorie...Ch. 2 - Journal entries and trial balance On October 1,...Ch. 2 - Journal entries and trial balance On November 1,...Ch. 2 - Journal entries and trial balance Elite Realty...Ch. 2 - Corrected trial balance The Lexington Group has...Ch. 2 - Entries into T accounts and trial balance Ken...Ch. 2 - Journal entries and trial balance On August 1,...Ch. 2 - Journal entries and trial balance On October 1,...Ch. 2 - Journal entries and trial balance Valley Realty...Ch. 2 - Corrected trial balance Tech Support Services has...Ch. 2 - The transactions completed by PS Music during June...Ch. 2 - Continuing Company AnalysisAmazon: Horizontal...Ch. 2 - Chipotle: Horizontal analysis Chipotle Mexican...Ch. 2 - Target: Horizontal analysis The following data (in...Ch. 2 - Walmart: Horizontal analysis The following data...Ch. 2 - Ethics in Action Buddy Dupree is the accounting...

Additional Business Textbook Solutions

Find more solutions based on key concepts
What four financial statements are contained in most annual reports?

Fundamentals Of Financial Management, Concise Edition (mindtap Course List)

Is competition good for business? Is it good for consumers?

Foundations of Business (MindTap Course List)

What is cycle time? Velocity?

Managerial Accounting: The Cornerstone of Business Decision-Making

Why is EBIT generally considered independent of financial leverage? Why might EBIT actually be affected by fina...

Fundamentals of Financial Management, Concise Edition (with Thomson ONE - Business School Edition, 1 term (6 months) Printed Access Card) (MindTap Course List)

What is a partial dependency?

Pkg Acc Infor Systems MS VISIO CD