Question

(Corrected Trial Balance) The following trial balance of Blues Traveler Corporation does not balance.

Blues Traveler Corporation Trial Balance April 30, 2020
		Debit		Credit
Cash		$  5,912
Accounts Receivable		5,240
Supplies		2,967
Equipment		6,100
Accounts Payable				$  7,044
Common Stock				8,000
Retained Earnings				2,000
Service Revenue				5,200
Office Expense		4,320		000000
		$24,539		$22,244

An examination of the ledger shows these errors.

1.    Cash received from a customer on the account was recorded (both debit and credit) as $1,380 instead of $1,830.

2.    The purchase on account of a computer costing $3,200 was recorded as a debit to Office Expense and a credit to Accounts Payable.

3.    Services were performed on account for a client, $2,250, for which Accounts Receivable was debited $2,250 and Service Revenue was credited $225.

4.    A payment of $95 for telephone charges was entered as a debit to Office Expense and a debit to Cash.

5.    The Service Revenue account was totaled at $5,200 instead of $5,280.

Instructions

From this information prepare a corrected trial balance, Please give an explanation

Answer 1

co Answor for corrected trial balance as of april 30. Evoy cash received from cestomer on account was, (1830-1380 = 450) . The cash will increased by 4.50 and the accounts pe teivable will decreased by 460. son ricash = 5910 4.450 = 6362. Accounts receivable = 5040-450 = $4190 1 riaccounts receivable = 447.70 Ettoral The purchase. on account of a computer casting 3200. it should be debited

c. comportes debit value = $3.000 The inic CUC LS 001 office is reduced to 3200. The accounts pagoble is concelly eredited. is conreatly credited. SO) of file Ezpense - 9300-3200 = 1120 [ office expense = to 20 223101 31 Suomicos uxx performed on accounts for a dent of assofox which accounts receivable was debited $2250 and service-revence was credited &225. The service. revenue "nercosed by - 2250 -ads +వింఖ్య Scavile y vental = 5:06+ 2015 = $7005 Errov u A payment of $25.rfor telephone charge wres entered as a debit to office Expense and a debit to cash.

The cash to be credited twice (from ErYONO => cash=636] cash - 6362-95-95 = 6362-190 - 6172 (cash reduced by por cash #6142 Error 5, tolaled at $5.200 - The service revenue account was instead of 4 saso = $280-5200 -80 i's service terenul inercose to So.. Survice reverUC - F225 +80 o Error 3 S erevenue - 15 = 30$ Sufice YEVLMUL $7385 : The corrected thick balance as of april 20 is tabulated below

bebit credit 61:13 cash accounts recivable Supplies Equipment Accounts pagabbc common stock Retained Earning $4790 3.0967 $.4000 & Jouy $6.000 € 2000 See Mwinue 47205 office expenses Coxxpeter Total $11.20 $3200 *84349 $ 24349 Corporation trial balance is balaned. ? The blues forander