Fill This Form To Receive Instant Help
Fill This Form To Receive Instant Help
Homework answers / question archive / Assume that when a purchase of supplies of $3,100 for cash was recorded, both the debit and the credit were journalized and posted as $1,300
Assume that when a purchase of supplies of $3,100 for cash was recorded, both the debit and the credit were journalized and posted as $1,300.
(a) Would this error cause the trial balance to be out of balance?
(b) Would the trial balance be out of balance if the $3,100 entry had been journalized correctly but the credit to Cash had been posted as $1,300?
a)No. Because the same error occurred on both the debit side and the credit side of the trial balance, the trial balance would not be out of balance.
b)Yes. The trial balance would not balance. The error would cause the debit total of the trial balance to exceed the credit total by $1,800.
