Errors affecting the trial balance For each of the following errors, considered individually, indicate whether the error would cause the trial balance totals to be unequal. If the error would cause the trial balance totals to be unequal, indicate whether the debit or credit total is higher and by how much. If the debit and credit totals would be equal, enter zero ("0") in the amount box. a. The payment of an insurance premium of $2,340 for a three-year policy was debited to Prepaid Insurance for $3,240 and credited to Cash for $2,340. Which of the following is true? If the totals on the trial balance are not equal, by how much is one column higher than the other? $fill in the blank 2 b. A payment of $2,950 on account was debited to Accounts Payable for $3,245 and credited to Cash for $3,245. Which of the following is true? If the totals on the trial balance are not equal, by how much is one column higher than the other? $fill in the blank 4
Errors affecting the
For each of the following errors, considered individually, indicate whether the error would cause the trial balance totals to be unequal. If the error would cause the trial balance totals to be unequal, indicate whether the debit or credit total is higher and by how much. If the debit and credit totals would be equal, enter zero ("0") in the amount box.
a. The payment of an insurance premium of $2,340 for a three-year policy was debited to Prepaid Insurance for $3,240 and credited to Cash for $2,340.
Which of the following is true?
If the totals on the trial balance are not equal, by how much is one column higher than the other?
$fill in the blank 2
b. A payment of $2,950 on account was debited to Accounts Payable for $3,245 and credited to Cash for $3,245.
Which of the following is true?
If the totals on the trial balance are not equal, by how much is one column higher than the other?
$fill in the blank 4
c. A purchase of supplies on account for $2,440 was credited to Supplies for $2,440 and credited to Accounts Payable for $2,440.
Which of the following is true?
If the totals on the trial balance are not equal, by how much is one column higher than the other?
$fill in the blank 6
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