Question

write down the journal entry that the company ACTUALLY MADE (shown on the right side of the attached sheet) for each error.

Write down the journal enrtry that the company SHOULD HAVE made.

thank you!!

in the column headings in the table. Use the following symbols:0 = overstated, U = understated and NE no effect Total Revenue Total Expenses Net Income Total Assets Total Liabilities Error Owners' Equity a. Recorded a declared but unpaid dividend by debiting dividends and crediting cash. b. Recorded a receipt of an account receivable as a debit to cash and a credit to fees earned. C. Recorded depreciation expense twice. d. Recorded the sale of capital stock as a debit to cash and a credit to revenue. e. Purchased equipment and debited supplies expense and credited cash. f. Failed to record expired portion of prepaid advertising g. Failed to record accrued and unpaid interest expense. w

Answer 1

Error Corrected a Dividends Retained earnings Dividends Payable Cash b b Cash Cash Accounts recievable Fees earned с Depreciation is to be recorededoly once in a year Depreciation expense Accumulated depreciation d d Cash Cash Revenue Common Stock e Equipment Supplies expense Cash Cash f Omission Advertisment expense Prepaid Advertisment 8 Omission Interest expense Interest payable