Problem: The trial balance of Blues Traveler Corporation does not balance.
BLUES TRAVELER CORPORATION
Trial Balance
April 30
|
|
Debits
|
Credits
|
|
|
|
|
|
Cash
|
$5912
|
|
|
Accounts Receivable
|
5240
|
|
|
Supplies on Hand
|
2967
|
|
|
Furniture and Equipment
|
6100
|
|
|
Accounts Payable
|
|
7044
|
|
Common Stock
|
|
8000
|
|
Retained Earnings
|
|
2000
|
|
Service Revenue
|
|
5200
|
|
Office Expense
|
4320
|
|
|
TOTALS
|
$24,539
|
$22,244
|
An examination of the ledger shows these errors.
1. Cash received from a customer on account was recorded(both debit and credit) as $ 1380 instead of $1830.
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 for $ 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.