Reference no: EM131714158
Question - The trial balance of Dominic Company shown below does not balance.
|
DOMINIC COMPANY Trial Balance May 31, 2015
|
|
Debit
|
Credit
|
|
Cash
|
$5,380
|
|
|
Accounts Receivable
|
|
$2,740
|
|
Prepaid Insurance
|
850
|
|
|
Equipment
|
13,530
|
|
|
Accounts Payable
|
|
6,030
|
|
Unearned Service Revenue
|
710
|
|
|
Common Stock
|
|
13,230
|
|
Service Revenue
|
8,680
|
|
|
Salaries and Wages Expense
|
4,350
|
|
|
Advertising Expense
|
|
950
|
|
Utilities Expense
|
800
|
|
|
$34,300
|
$22,950
|
Your review of the ledger reveals that each account has a normal balance. You also discover the following errors.
1. The totals of the debit sides of Prepaid Insurance, Accounts Payable, and Utilities Expense were each understated $100.
2. Transposition errors were made in Accounts Receivable and Service Revenue. Based on postings made, the correct balances were $2,470 and $8,860, respectively.
3. A debit posting to Salaries and Wages Expense of $200 was omitted.
4. A $1,820 cash dividend was debited to Common Stock for $1,820 and credited to Cash for $1,820.
5. A $510 purchase of supplies on account was debited to Equipment for $510 and credited to Cash for $510.
6. A cash payment of $550 for advertising was debited to Advertising Expense for $55 and credited to Cash for $55.
7. A collection from a customer for $600 was debited to Cash for $600 and credited to Accounts Payable for $600.
Required - Prepare a correct trial balance.