Financial Accounting - Access
4th Edition
ISBN: 9781259958533
Author: SPICELAND
Publisher: MCG
expand_more
expand_more
format_list_bulleted
Concept explainers
Question
Chapter 2, Problem 2.6BP
To determine
Trial balance is the summary of accounts, and their debit and credit balances at a given time. It is usually prepared at end of the accounting period. Debit balances are listed in left column and credit balances are listed in right column. The totals of debit and credit column should be equal. Trial balance is useful in the preparation of the financial statements.
To prepare: The trial balance with list by placing amounts in the appropriate debit or credit and determine the balance of the equipment account.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
BE2.9 (LO 4) From the ledger balances given below, prepare a trial balance for the Amaro Company at
Shaushank Company
Trial Balance December 31, 2020
Debit
$10,600
2.200
Credit
$ 3,500 3,000
9,000
4,500
25,400
2,400
$47,800
Cash
Prepaid Insurance
Accounts Payable
Unearned Service Revenue
Owner's Capital
Owner's Drawings
Service Revenue
Salaries and Wages Expense
Rent Expense
18,600
$31,400
The accounts in the ledger of Sterling Company contain the following balances on May 31, 2020.
Cash $11,700 Accounts Receivable $5,500
Prepaid Insurance 1,400 Equipment 16,000
Accounts Payable 9,000 Property Taxes Payable 1,120
M. Sterling, Capital 23,400 Service Revenue ?
Salaries Expense 8,400 Advertising Expense 2,200
Property Tax Expense 1,600
Instructions
Prepare a trial balance and fill in the missing amount for Service Revenue.
Prepare a December 31 trial balance for TLX Co. using the following information and fill in the missing amount for Equipment (assume all data are correct).
Cash$8,000
Accounts payable 4,000
Services revenue 20,000
Rent expense 3,000
Equipment ?
Dividends 500
Common stock 16,500
Wages expense 12,000
Accounts receivable 1,000
Unearned revenue 2,000
What is the value for the equiment?
Prepare a December 31 trial balance for TLX Co.
TLX CO.
Trial Balance
December 31
Debit
Credit
Totals
Chapter 2 Solutions
Financial Accounting - Access
Ch. 2 - Prob. 1RQCh. 2 - 2.List the steps we use to measure external...Ch. 2 - 3.Each external transaction will have a dual...Ch. 2 - 4.Describe the impact of each of these external...Ch. 2 - Prob. 5RQCh. 2 - Prob. 6RQCh. 2 - Prob. 7RQCh. 2 - Prob. 8RQCh. 2 - Prob. 9RQCh. 2 - 10.Suzanne knows that an increase to an expense...
Ch. 2 - 11.What is a journal? What is a journal entry?Ch. 2 - Prob. 12RQCh. 2 - Prob. 13RQCh. 2 - Prob. 14RQCh. 2 - 15.Describe the events that correspond to the...Ch. 2 - 16.What does a T-account represent? What is the...Ch. 2 - Prob. 17RQCh. 2 - Prob. 18RQCh. 2 - Prob. 19RQCh. 2 - 20.If total debits equal total credits in the...Ch. 2 - List steps in the measurement process (LO21) Below...Ch. 2 - Balance the accounting equation (LO22) Using the...Ch. 2 - Suppose a local company has the following balance...Ch. 2 - Analyze the Impact of transactions on the...Ch. 2 - Understand the effect of debits and credits on...Ch. 2 - Prob. 2.6BECh. 2 - Record transactions (LO24) The following...Ch. 2 - Prob. 2.8BECh. 2 - Analyze T-accounts (LO25) Consider the following...Ch. 2 - Prob. 2.10BECh. 2 - Prob. 2.11BECh. 2 - Correct a trial balance (LO26) Your study partner...Ch. 2 - Listed below are several terms and phrases...Ch. 2 - Prob. 2.2ECh. 2 - Analyze the Impact of transactions on the...Ch. 2 - Analyze the Impact of transactions on the...Ch. 2 - Understand the components of retained earnings...Ch. 2 - Indicate the debit or credit balance of accounts...Ch. 2 - Associate debits and credits with external...Ch. 2 - Prob. 2.8ECh. 2 - Identify transactions (LO24) Below are recorded...Ch. 2 - Prob. 2.10ECh. 2 - Record transactions (LO24) Bearcat Construction...Ch. 2 - Correct recorded transactions (LO24) Below are...Ch. 2 - Correct recorded transactions (LO24) Below are...Ch. 2 - Prob. 2.14ECh. 2 - Post transactions to T-accounts (LO25) Consider...Ch. 2 - Identify transaction (LO25) Below are T-accounts....Ch. 2 - Prob. 2.17ECh. 2 - Prepare o trial balance (LO26) Below is the...Ch. 2 - Prob. 2.19ECh. 2 - Prob. 2.20ECh. 2 - Below is a list of activities for Jayhawk...Ch. 2 - Prob. 2.2APCh. 2 - Prob. 2.3APCh. 2 - Prob. 2.4APCh. 2 - Refer to the transactions described in P24A. Keep...Ch. 2 - Prepare a trial balance (LO26) Below are the...Ch. 2 - Prob. 2.7APCh. 2 - Prob. 2.8APCh. 2 - Prob. 2.9APCh. 2 - Analyze the impact of transactions on the...Ch. 2 - Prob. 2.2BPCh. 2 - Prob. 2.3BPCh. 2 - Record transactions (LO24) Flip Side of P25B Eli...Ch. 2 - Prob. 2.5BPCh. 2 - Prob. 2.6BPCh. 2 - Prob. 2.7BPCh. 2 - Prob. 2.8BPCh. 2 - Prob. 2.9BPCh. 2 - Prob. 2.1APCPCh. 2 - Prob. 2.2APFACh. 2 - The Buckle, Inc. Financial Analysis Financial...Ch. 2 - Prob. 2.4APCACh. 2 - Prob. 2.5APECh. 2 - Prob. 2.6APIRCh. 2 - Prob. 2.7APWC
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- On January 24, 20Y8, Niche Consulting collected $5,700 it had hilled its clients for services rendered on December 31, 20Y7. How would you record the January 24 transaction, using the accrual basis? A. Increase Cash, $5,700; decrease Fees Earned, $5,700 B. Increase Accounts Receivable, $5,700; increase Fees Earned, $5,700 C. Increase Cash, $5,700; decrease Accounts Receivable, $5,700 D. Increase Cash, $5,700; increase Fees Earned, $5,700arrow_forwardThe transactions completed by PS Music during June 20Y5 were described at the end of Chapter 1. The following transactions were completed during July, the second month of the businesss operations: July 1. Peyton Smith made an additional investment in PS Music in exchange for common stock by depositing 5,000 in PS Musics checking account. 1. Instead of continuing to share office space with a local real estate agency, Peyton decided to rent office space near a local music store. Paid rent for July, 1,750. 1. Paid a premium of 2,700 for a comprehensive insurance policy covering liability, theft, and fire. The policy covers a one-year period. 2. Received 1,000 on account. 3. On behalf of PS Music, Peyton signed a contract with a local radio station, KXMD, to provide guest spots for the next three months. The contract requires PS Music to provide a guest disc jockey for 80 hours per month for a monthly fee of 3,600. Any additional hours beyond 80 will be billed to KXMD at 40 per hour. In accordance with the contract, Peyton received 7,200 from KXMD as an advance payment for the first two months. 3. Paid 250 on account. 4. Paid an attorney 900 for reviewing the July 3 contract with KXMD. (Record as Miscellaneous Expense.) 5. Purchased office equipment on account from Office Mart, 7,500. 8. Paid for a newspaper advertisement, 200. 11. Received 1,000 for serving as a disc jockey for a party. 13. Paid 700 to a local audio electronics store for rental of digital recording equipment. 14. Paid wages of 1,200 to receptionist and part-time assistant. Enter the following transactions on Page 2 of the two-column journal: 16. Received 2,000 for serving as a disc jockey for a wedding reception. 18. Purchased supplies on account, 850. 21. Paid 620 to Upload Music for use of its current music demos in making various music sets. 22. Paid 800 to a local radio station to advertise the services of PS Music twice daily for the remainder of July. 23. Served as disc jockey for a party for 2,500. Received 750, with the remainder due August 4, 20Y5. 27. Paid electric bill, 915. 28. Paid wages of 1,200 to receptionist and part-time assistant. 29. Paid miscellaneous expenses, 540. 30. Served as a disc jockey for a charity ball for 1,500. Received 500, with the remainder due on August 9, 20Y5. 31. Received 3,000 for serving as a disc jockey for a party. 31. Paid 1,400 royalties (music expense) to National Music Clearing for use of various artists music during July. 31. Paid dividends, 1,250. PS Musics chart of accounts and the balance of accounts as of July 1, 20Y5 (all normal balances), are as follows: Instructions 1. Enter the July 1, 20Y5, account balances in the appropriate balance column of a four-column account. Write Balance in the Item column, and place a check mark () in the Posting Reference column. (Hint: Verify the equality of the debit and credit balances in the ledger before proceeding with the next instruction.) 2. Analyze and journalize each transaction in a two-column journal beginning on Page 1, omitting journal entry explanations. 3. Post the journal to the ledger, extending the account balance to the appropriate balance column after each posting. 4. Prepare an unadjusted trial balance as of July 31, 20Y5.arrow_forwardcreate a trial balance WITH t accounts all balances are normal. cash $45,000 accts recievable $6,000 inventory $15,000 prepaid expenses $5,000 accts payable $12,000 unearned revenue $10,000 expenses payable $10,000 long term debt $14,000 common stock $25,000 the following trabsactions have occured in a company 1. company pays $1,750 in insurance for the next 3 months 2. company pays invoiced billed last month of $7,250 3. company takes delivery of $1,750 in inventory to be paid next month 4. company pays $5,250 in rent for this month 5. customer pays deposit on an order to be filled next month of $4,750arrow_forward
- The Lexington Group has the following unadjusted trial balance as of May 31, 20Y6: The Lexington GroupUnadjusted Trial BalanceMay 31, 20Y6 Debit Balances Credit Balances Cash 20,350 Accounts Receivable 37,000 Supplies 1,100 Prepaid Insurance 200 Equipment 171,175 Notes Payable 36,000 Accounts Payable 26,000 Common Stock 50,000 Retained Earnings 94,150 Dividends 15,000 Fees Earned 429,850 Wages Expense 270,000 Rent Expense 63,000 Advertising Expense 25,200 Miscellaneous Expense 5,100 608,125 636,000 The debit and credit totals are not equal as a result of the following errors: The cash entered on the trial balance was overstated by $7,000. A cash receipt of $8,200 was posted as a debit to Cash of $2,800. A debit of $16,500 to Accounts Receivable was not posted. A return of $125 of defective supplies was erroneously posted as a $1,250 credit to…arrow_forwardFor Questions 3 – 5. The accountant for Franklin Company prepared the following list of account balances from the company’s records for the year ended December 31, 2021: Fees Earned ₱165,000 Cash ₱30,000 Accounts Receivable ₱14,000 Selling Expenses ₱44,000 Equipment ₱64,000 Franklin, Capital ₱27,000 Accounts Payable ₱12,000 Interest Income ₱3,000 Salaries & Wages Expense ₱40,000 Prepaid Rent ₱2,000 Income Taxes Payable ₱5,000 Income Taxes Expense ₱18,000 Notes Payable ₱20,000 Rent Expense ₱20,000 Determine the total assets at the end of 2021 for Franklin Company. Determine the total liabilities at the end of 2021 for Franklin Company. Based on this information, is Franklin Company profitable? Explain your answer.arrow_forwardLatisha Lopez started her own consulting firm, Isis Consulting, Inc. on May 1, 2023. The trial balance at May 31 is as follows. Isis Consulting, Inc. Trial Balance May 31, 2023 Account Number Debit Credit 101 Cash $ 7,700 112 Accounts Receivable 4,000 126 Supplies 1,500 130 Prepaid Insurance 2,400 157 Equipment 12,000 201 Accounts Payable $ 4,500 209 Unearned Service Revenue 2,600 311 Share Capital—Ordinary 16,000 400 Service Revenue 8,500 726 Salaries and W ages Expense 3,000 729 Rent Expense 1,000 ______ $31,600 $31,600 In addition to those accounts listed on the trial balance, the chart of accounts for Isis Consulting also contains the following accounts and account numbers: No. 158…arrow_forward
- The December 31, 2024, adjusted trial balance for Badger Corporation is presented below. Accounts Debit Credit Cash $14,000 Accounts Receivable 155,000 Prepaid Rent 5,000 Supplies 31,000 Land 270,000 Accounts Payable $13,000 Salaries Payable 12,000 Interest Payable 5,000 Notes Payable (due in two years) 41,000 Common Stock 305,000 Retained Earnings 62,000 Service Revenue 505,000 Salaries Expense 401,000 Rent Expense 21,000 Utilities Expense 41,000 Interest Expense 5,000 Totals $943,000 $943,000 Required: 1. Prepare an income statement for the year ended December 31, 2024.2. Prepare a statement of stockholders' equity for the year ended December 31, 2024, assuming no common stock was issued during 2024.arrow_forwardThe December 31, 2024, adjusted trial balance for Badger Corporation is presented below. Accounts Debit Credit Cash $14,000 Accounts Receivable 155,000 Prepaid Rent 5,000 Supplies 31,000 Land 270,000 Accounts Payable $13,000 Salaries Payable 12,000 Interest Payable 5,000 Notes Payable (due in two years) 41,000 Common Stock 305,000 Retained Earnings 62,000 Service Revenue 505,000 Salaries Expense 401,000 Rent Expense 21,000 Utilities Expense 41,000 Interest Expense 5,000 Totals $943,000 $943,000 Required: 3. Prepare a classified balance sheet as of December 31, 2024.arrow_forwardThe December 31, 2024, adjusted trial balance for Fightin' Blue Hens Corporation is presented below. Accounts Debit Credit Cash $12,000 Accounts Receivable 150,000 Prepaid Rent 6,000 Supplies 30,000 Land 265,000 Accounts Payable $12,000 Salaries Payable 11,000 Interest Payable 5,000 Notes Payable (due in two years) 40,000 Common Stock 300,000 Retained Earnings 60,000 Service Revenue 500,000 Salaries Expense 400,000 Rent Expense 20,000 Utilities Expense 40,000 Interest Expense 5,000 Totals $928,000 $928,000 Required: 1. Prepare an income statement for the year ended December 31, 2024.2. Prepare a statement of stockholders’ equity for the year ended December 31, 2024, assuming no common stock was issued during 2024.3. Prepare a classified balance sheet as of December 31, 2024.arrow_forward
- The Sky Blue Corporation has the following adjusted trial balance at December 31. Debit Credit Cash $ 1,230 Accounts Receivable 2,000 Prepaid Insurance 2,300 Notes Receivable (long-term) 3,000 Equipment 12,000 Accumulated Depreciation $ 2,600 Accounts Payable 5,420 Salaries and Wages Payable 1,000 Income Taxes Payable 2,900 Deferred Revenue 600 Common Stock 2,400 Retained Earnings 1,000 Dividends 300 Sales Revenue 42,030 Rent Revenue 300 Salaries and Wages Expense 21,600 Depreciation Expense 1,300 Utilities Expense 4,220 Insurance Expense 1,400 Rent Expense 6,000 Income Tax Expense 2,900 Total $ 58,250 $ 58,250arrow_forwardThe Sky Blue Corporation has the following adjusted trial balance at December 31. Debit Credit Cash $ 1,230 Accounts Receivable 2,000 Prepaid Insurance 2,300 Notes Receivable (long-term) 3,000 Equipment 12,000 Accumulated Depreciation $ 2,600 Accounts Payable 5,420 Salaries and Wages Payable 1,000 Income Taxes Payable 2,900 Deferred Revenue 600 Common Stock 2,400 Retained Earnings 1,000 Dividends 300 Sales Revenue 42,030 Rent Revenue 300 Salaries and Wages Expense 21,600 Depreciation Expense 1,300 Utilities Expense 4,220 Insurance Expense 1,400 Rent Expense 6,000 Income Tax Expense 2,900 Total $ 58,250 $ 58,250 Required:Prepare closing journal entries on December 31. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) Please don't provide answer in image format thank youarrow_forwardThe following trial balance of Watteau Co. does not balance. Watteau Co.Trial BalanceJune 30, 2020 Debit Credit Cash $ 2,870 Accounts Receivable $ 3,231 Supplies 800 Equipment $ 3,800 Accounts Payable $ 2,666 Unearned Service Revenue 1,200 Common Stock 6,000 Retained Earnings 3,000 Service Revenue 2,380 Salaries and Wages Expense 3,400 Office Expense 940 00000 $13,371 $16,916 Each of the listed accounts should have a normal balance per the general ledger. An examination of the ledger and journal reveals the following errors. 1. Cash received from a customer on account was debited for $570, and Accounts Receivable was credited for the same amount. The actual collection was for $750. 2. The purchase of a computer printer on account for $500 was recorded as a debit to Supplies for $500 and a credit to Accounts Payable for $500. 3. Services were performed on account for a client for $890. Accounts Receivable…arrow_forward
arrow_back_ios
arrow_forward_ios
Recommended textbooks for you
- Survey of Accounting (Accounting I)AccountingISBN:9781305961883Author:Carl WarrenPublisher:Cengage LearningFinancial And Managerial AccountingAccountingISBN:9781337902663Author:WARREN, Carl S.Publisher:Cengage Learning,
Survey of Accounting (Accounting I)
Accounting
ISBN:9781305961883
Author:Carl Warren
Publisher:Cengage Learning
Financial And Managerial Accounting
Accounting
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:Cengage Learning,
The ACCOUNTING EQUATION For BEGINNERS; Author: Accounting Stuff;https://www.youtube.com/watch?v=56xscQ4viWE;License: Standard Youtube License