Epic Video has the following unadjusted trial balance as of July 31, 2008:

The debit and credit totals are not equal as a result of the following errors:
a. The balance of cash was overstated by $5,000.
b. A cash receipt of $3,200 was posted as a credit to Cash of $2,300.
c. A debit of $2,780 to Accounts Receivable was not posted.
d. A return of $235 of defective supplies was erroneously posted as a $253 credit to Supplies.
e. An insurance policy acquired at a cost of $500 was posted as a credit to Prepaid Insurance.
f. The balance of Notes Payable was overstated by $4,500.
g. A credit of $600 in Accounts Payable was overlooked when the balance of the account was determined.
h. A debit of $2,000 for a withdrawal by the owner was posted as a debit to Carlton Dey,
Capital.
i. The balance of $9,450 in Advertising Expense was entered as $9,540 in the trial balance.
j. Miscellaneous Expense, with a balance of $2,520, was omitted from the trial balance.

Instructions
1. Prepare a corrected unadjusted trial balance as of July 31 of the current year.
2. Does the fact that the unadjusted trial balance in (1) is balanced mean that there are no errors in the accounts?Explain.

Transcribed Image Text:

Epic Video Unadjusted Trial Balance July 31, 2008 Debit Balances Balances Credit Cash .. . 6,250 710 .54,000 Equipment Notes Payable . Accounts Payable. 22,500 4,980 30,400 . . . 178,020 Advertising Expense 9,540 225,272 235,900