Question

Case-3 Below is the unadjusted trial balance prepared from the ledger accounts of Blueberry Inc.: Blueberry Inc. Unadjusted Trial Balance March 31, 2020 Debit Credit Account Title (OMR) OMR Cash 1,100 Accounts Receivable 1,770 Supplies 420 Prepaid Insurance 2.400 Office Equipment 10,000 Notes Payable 1.000 Accounts Payable 1,500 Common Stock 1.800 Retained Earnings 4.000 Dividends 400 Service Revenues 19.600 Rent Expense 3,600 Operating Expense 2.500 Salaries Expense 9,000 Totals 31,190 27,900

Principles of Accounting 1 made the following The accountant of Blueberry Inc. errors during March 2020. a. The cash purchase of OMR 2,110 computers was recorded as a OMR 2,200 debit to Office Equipment and a OMR 2,110 credit to Cash. b. An OMR 800 purchase of supplies on account was properly recorded as a debit to the Supplies account but was incorrectly recorded as a credit to the Cash Account. c. The company provided services valued at OMR 7,500 to a customer. The accountant recorded the transaction in the proper accounts but in the incorrect amount of OMR 17,500. d. A OMR 500 cash receipt for a payment on an account receivable was not recorded. e. A OMR 300 cash payment of an account payable was not recorded. f. The March utility bill, which amounted to OMR 600 on account, was not recorded
Prepare a corrected trial balance.

Answer 1

	Blueberry Incorporation
	Trial Balance
	31-Mar-20
	Adjustments	Accounts		Debit	Credit
		Cash		1,100
b.	Wongly credited now added			800
d.	Cash received by Accoutn receivable not recorded			500
e.	Cash paid to creditor			-300
				2,100
		Account Receivable	1,770
d.	Cash received by Accoutn receivable not recorded			-500
				1,270
		Supplies		420
		Prepaid Insurance	2,400
		Office equipment	10,000
a.	Wrong amount debited(2200-2110)			-90
				9,910
		notes payable		1,000
		Accounts Payable		1,500
b.	Supplies on account				800
e.	Cash paid to creditor				-300
f.	Utility exps				600
					2,600
		common Stock		1,800
		Retained Earnings		4,000
		Dividends	400
		Service Revenue		19,600
c.	Service revenue recorded by wrong amout				-10,000
					9,600
		Rent expense	3,600
		Operating Expense	2,500
		Salaries Exps	9,000
f.	Utility Exps	Utility Expenses	600
c.	Suspense Account (10000+3200)				13200
	10000 cannot be shown into cash and account receivable as it will make balance negative		Total	32,200	32,200
	3200 as difference in original trial balance
	Bold items were last correct balances