A small business has $1,000 in their Bank Account, $1,000 in the Equipment Account and $2,000 in Capital. Then, the business buys $75 worth of Equipment and pays cash. The accounting entry made is: Credit Equipment $75 and Debit Bank $57. How does this error impact the Trial Balance? * The Trial Balance will not balance by $18 O The Trial Balance will not balance by $36 ($18 x 2) O The Trial Balance will not balance by $57 O The Trial Balance will not balance by $75

A small business has $1,000 in their Bank Account, $1,000 in the Equipment Account and $2,000 in Capital. Then, the business buys $75 worth of Equipment and pays cash. The accounting entry made is: Credit Equipment $75 and Debit Bank $57. How does this error impact the Trial Balance? * The Trial Balance will not balance by $18 O The Trial Balance will not balance by $36 ($18 x 2) O The Trial Balance will not balance by $57 O The Trial Balance will not balance by $75

Name: QuestionA small business has $1,000 in their Bank Account, $1,000 in
Uploaded: 2024-03-04T10:43:15.000Z
Channel: Bartleby
Description: QuestionA small business has $1,000 in their Bank Account, $1,000 in the EquipmentAccount and $2,000 in Capital. Then, the business buys $75 worth of Equipmentand pays cash. The accounting entry made is: Credit Equipment $75 and DebitBank $57. How d

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Which of the following errors will not affect the Trial balance? a. Wrong totaling of purchase journal OMR 48,000 instead OMR 84,000 b. Cash paid to Mr. Said OMR 7800: Debit Mr. Said OMR 8700 and Credit Cash OMR 7800 c. Omitting Salary account OMR 12,000 and recording Cash account OMR 12,000 d. Omitting Rent account OMR 8,000 and Cash account RO 8,000
The trial balance of SamSan Tech. shown below does not balance. Your review of the ledger reveals the following: (a) Each Account had a normal balance. (b) The debit footings in Prepaid Insurance, Accounts Payable, and Property Tax Expense were each understated by P100. (C) A transposition error was made in Accounts Receivable; the correct balances for Accounts receivable and Service revenue are P2,750 and P6,690, respectively. (d) A debit posting to Advertising Expense for P300 was omitted. (e) A P1,500 cash drawing by the owner was debited to Ozawa Capital and credited to Cash. Trial Balance Cash P4,800 Accounts Receivable 2,750 Prepaid Insurance 700 Equipment P8,000 Accounts Payable 4,500 Property Tax Payable 560 Samsan, Capital 11,200 Service Revenue 6,960 Salaries Expense 4,200 Advertising Expense 1,100 Property Tax Expense 800 P20,890 P24,500 The corrected trial balance of the company should show total debits of A. P24,350 B. P23,070 C. P22,850 D. P21,570
10 The following account balances were listed on the trial balance of Edgar Company at the end of the period: Account Balance Accounts Payable $ 31,200 Cash 49,500 Common Stock 33,000 Equipment 15,000 Land 46,500 Notes Payable 61,500 The company’s trial balance is not in balance and the company’s accountant has determined that the error is in the cash account. What is the correct balance in the cash account? Multiple Choice $2,700. $63,300. $33,000. $64,200.
ME11Which of the following errors, each considered individually, would cause the trial balance totals to be unequal?a) A payment of $488 to a creditor was posted as a debit of $848 to Accounts Payable and a debit of $488 to Accounts Receivable.b) Cash received from customers on account was posted as a debit of $450 to Cash and a credit of $450 to Accounts Payable.c) A payment of $79 for supplies was posted as a debit of $907 to Supplies and a credit of $907 to Cash.d) A transaction was not posted.
9-Which of the following errors will not affect the Trial balance? a. Omitting Salary account OMR 12,000 and recording Cash account OMR 12,000 b. Cash paid to Mr. Said OMR 7800: Debit Mr. Said OMR 8700 and Credit Cash OMR 7800 c. Omitting Rent account OMR 8,000 and Cash account RO 8,000 d. Wrong totaling of purchase journal OMR 48,000 instead OMR 84,000
1. The way to build good credit is to: A. Secure a credit card, but never use it B. Pay off the credit card in full, each month C. Purchase unnecessary items D. All of these 2. Credit reports: A. Only report credit history under your current name B. Only report payments that were made on time C. Can only be secured without your permission D. Show any liens, foreclosures, or bankruptcies 3. Money coming in is called: A. Gross amount B. Expense C. Income D. All of these E. None of these
The following errors were detected: The cash balance is overstated by $5,000. Rent expense of $340 was erroneously posted as a credit rather than a debit. A $6,800 credit to Service revenue was not posted. A $400 debit to Accounts receivable was posted as $40. The balance of Utilities expense is understated by $70. A $900 purchase of supplies on account was neither journalized nor posted. Equipment should be $16,490. Requirement 1. Prepare the corrected trial balance on February 29, 2020. Journal entries are not required. 2. Prepare the company's financial statements for the month of February 2020.
20. If the debit side of the trial balance is undervalued by P2,000 with the correct debit balance, which of the following are not the possible reasons? 1. The cash payment for the electricity bill of P2,000 is recorded as the payment for rates in the ledgers. 2. The transaction regarding the settlement of debt by Mr. Lee by cash of P2,000 in the ledger accounts is completely omitted. 3. The receipt of income in cash of P1,000 is recorded in the cash book as a payment by cash of P1,000, while the entry in the income account is made correctly. O (1) and (2) only O (1) and (3) only O (2) and (3) only O (1), (2) and (3)
Subject: accounting
tutuis Were: DEBIT CREDIT $387,642 $379,511 A suspense account was opened for the difference. Which one of the following errors would have the effect of reducing the difference when corrected? The petty cash balance of $500 has been omitted from the trial balance. B $4,000 received for rent of part of the office has been correctly recorded in the cash book and debited to rent account. C $3,000 paid for repairs to plant has been debited to the plant asset account. D An invoice for Mr A Smith for $400 has been posted to the account of Mrs B Smith in error.
If a $335.00 debit item in the general journal is posted as a credit: By how much will the trial balance be out of balance? Explain how you might detect such an error.
this multiple choice questions from ACCOUNTING PRINCIPLES I.I need the final answer.