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.

A. The payment of cash for the purchase of office equipment of $12,900 was debited to Land for$12,900 and credited to Cash for $12,900.

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. a. The payment of cash for the purchase of office equipment of $12,900 was debited to Land for$12,900 and credited to Cash for $12,900. b. The payment of$1,840 on account was debited to Accounts Payable for $184 and credited to Cash for$1,840. c. The receipt of cash on account of $3,800 was recorded as a debit to Cash for$8,300and a credit to Accounts Receivable for $3,800

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.

a. The payment of cash for the purchase of office equipment of $12,900 was debited to Land for$12,900 and credited to Cash for $12,900. b. The payment of$1,840 on account was debited to Accounts Payable for $184 and credited to Cash for$1,840. c. The receipt of cash on account of $3,800 was recorded as a debit to Cash for$8,300 and a credit to Accounts Receivable for $3,800.

For each of the following errors, considered individually, indicate whether the error would cause the adjusted trial balance totals to be unequal. If the error would cause the adjusted trial balance totals to be unequal, indicate whether the debit or credit total is higher and by how much.

a. The adjustment for accrued wages of $5,200 was journalized as a debit to Wages Expense for$5,200 and a credit to Accounts Payable for $5,200. b. The entry for$1,125 of supplies used during the period was journalized as a debit to Supplies Expense of $1,125 and a credit to Supplies of$1,152.

On May 31, the following data were accumulated to assist the accountant in preparing the adjusting entries for Oceanside Realty:

• Fees accrued but unbilled at May 31 are $\$ 19,750$.
• The supplies account balance on May 31 is $\$ 12,300$. The supplies on hand at May 31 are $\$ 4,150$.
• Wages accrued but not paid at May 31 are $\$ 2,700$.
• The unearned rent account balance at May 31 is $\$ 9,000$, representing the receipt of an advance payment on May 1 of three months' rent from tenants.
• Depreciation of office equipment is $\$ 3,200$.

Instructions

1. Journalize the adjusting entries required at May 31.
2. Briefly explain the difference between adjusting entries and entries that would be made to correct errors.

The amounts of the assets and liabilities of Heavenly Travel Service at April $30$, $2010$, the end of the current year, and its revenue and expenses for the year are listed below. The capital of Jennifer Burch, owner, was $\$45,540$ at May $1$, $2009$, the beginning of the current year, and the owner withdrew $\$25,000$ during the current year.

$$\begin{array}{lrlr} \text{Accounts payable} & \$\hspace{5pt}14,600 & \text{Supplies} & \$\hspace{10pt}6,800\\ \text{Accounts receivable} & 78,000 & \text{Supplies expense} & 13,200\\ \text{Cash} & 159,200 & \text{Taxes expense} & 10,250\\ \text{Fees earned} & 600,000 & \text{Utilities expense} & 49,150\\ \text{Miscellaneous expense} & 5,000 & \text{Wages expense} & 232,640\\ \text{Rent expense} & 80,900 \end{array}$$

$\textsf{\textcolor{#4257b2}{Instructions}}$
$1$. Prepare an income statement for the current year ended April $30$, $2010$.
$2$. Prepare a statement of owner’s equity for the current year ended April $30$, $2010$.
$3$. Prepare a balance sheet as of April $30$, $2010$.

On August 1, the supplies account balance was $1,025. During August, supplies of$3,110 were purchased, and $1,324 of supplies were on hand as of August 31. Determine the supplies expense for August.

On August 1, the supplies account balance was $1,025. During August, supplies of$3,110 were purchased, and $1,324 of supplies were on hand as of August 31. Determine supplies expense for August.

When preparing the financial statements for the year ended October 31, accrued salaries owed to employees for October 30 and 31 were omitted. The accrued salaries were included in the first salary payment in November. Indicate which items will be erroneously stated, because of failure to correct the initial error, on (a) the income statement for the month of November and (b) the balance sheet as of November 30.

When preparing the financial statements for the year ended October 31, accrued salaries owed to employees for October 30 and 31 were overlooked. The accrued salaries were included in the first salary payment in November. Indicate which items will be erroneously stated, because of failure to correct the initial error, on (A) the income statement for the month of November and (B) the balance sheet as of November 30.

Prepare a journal entry on June 30 for the payment of dividends of $11,500

At March 31, the end of the first month of operations, the usual adjusting entry transferring prepaid insurance expired to an expense account is omitted. Which items will be incorrectly stated, because of the error, on

(b) the balance sheet as of March 31?

Also indicate whether the items in error will be overstated or understated.

At March 31, the end of the first month of operations, the usual adjusting entry transferring prepaid insurance expired to an expense account is omitted. Which items will be incorrectly stated, because of the error, on

(a) the income statement for March

Also indicate whether the items in error will be overstated or understated.

Prepare a journal entry on August 13 for cash received for services rendered, $9,000.