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Correcting errors in a trial balance The trial balance of Learn for Life Child Care does not balance The following errors are detected a Cash is understated by $1300 b A $4600 debit to

Correcting errors in a trial balance The trial balance of Learn for Life Child Care does not balance.

The following errors are detected:

a. Cash is understated by $1,300.

b. A $4,600 debit to Accounts Receivable was posted as a credit.

c. A $1,500 purchase of office supplies on account was neither journalized nor posted.

d. Equipment was incorrectly transferred from the ledger as $90,600. It should have been transferred as $82,000.

e. Salaries Expense is overstated by $900.

f. A $800 cash payment for advertising expense was neither journalized nor posted.

g. A $200 cash dividend was incorrectly journalized as $2,000.

h. Service Revenue was understated by $4,600.

i. A 12-month insurance policy was posted as a $900 credit to Prepaid Insurance. Cash was posted correctly. Prepare the corrected trial balance at August 31, 2017. Journal entries are not required.

Apr 22 2020 View more View Less

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