ACC 201/202 MYACCLAB E-TEXT ONLY >I<
16th Edition
ISBN: 9781323118047
Author: Pearson
Publisher: PEARSON C
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Textbook Question
Chapter 2, Problem 2.27E
Correcting errors in a
The following trial balance of Carla Madock Tutoring Service as of May 31, 2016, does not balance.
Investigation of the accounting records reveals that the bookkeeper:
- a. Recorded a $ 600 cash revenue transaction by debiting
Accounts Receivable . The credit entry was correct. - b. Posted a $ 1,000 credit to Accounts Payable as $ 100.
- c. Did not record Utilities Expense or the related Utilities Payable in the amount of $300.
- d. Understated Common Stock by $900.
Prepare the corrected trial balance as of May 31, 2016, complete with a heading;
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- The bookkeeper for Nevado Company has prepared the following trial balance: The bookkeeper has asked for your help. In examining the companys journal and ledger, you discover the following errors. Use this information to construct a corrected trial balance. a. The debits to the Cash account total 8,000, and the credits total 3,300. b. A 500 payment to a creditor was entered in the journal correctly but was not posted to the Accounts Payable account. c. The first two numbers in the balance of the Accounts Receivable account were transposed when the balance was copied from the ledger to the trial balance. d. The 1,500 amount withdrawn by the owner for personal use was debited to Miscellaneous Expense by mistakeit was correctly credited to Cash.arrow_forwardFINDING AND CORRECTING ERRORS On May 25, after the transactions had been posted, Joe Adams discovered that the following entry contains an error. The cash received represents a collection on account, rather than new service fees. Correct the error in the general journal using a correcting entry.arrow_forwardFINDING AND CORRECTING ERRORS On April 25, after the transactions had been posted, Mary Smith discovered the following entry contains an error. When her customer received services, Cash was debited, but the service was provided on account. Correct the error in the journal using a correcting entry.arrow_forward
- The revenue journal for Sapling Consulting Inc. follows. The accounts receivable controlling account has a July 1, 2016, balance of 625 consisting of an amount due from Aladdin Co. There were no collections during July. a. Prepare a T account for the accounts receivable customer accounts. b. Post the transactions from the revenue journal to the customer accounts, and determine their ending balances. c. Prepare T accounts for the accounts receivable and fees earned accounts. Post control totals to the two accounts, and determine the ending balances. d. Prepare a schedule of the customer account balances to verify the equality of the sum of the customer account balances and the accounts receivable controlling account balance. e. How might a computerized system differ from a revenue journal in recording revenue transactions?arrow_forwardWhich of these transactions requires a credit entry to Revenue? A. received cash from services performed this month B. collected balance due from customers C. received cash from bank loan D. refunded a customer for a defective productarrow_forwardPost the following February transactions to T-accounts for Accounts Receivable and Cash, indicating the ending balance (assume no beginning balances in these accounts). A. provided legal services to customers for cash, $5,600 B. provided legal services to customers on account, $4,700 C. collected cash from customer accounts, $3,500arrow_forward
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