On January 1, 2023, Paula Fernandes started a new business called Wicked Dance. Near the end of the year, she hired a new bookkeeper without checking references or requesting an academic transcript. As a result, a number of mistakes have been made in preparing the following trial balance:

Paula’s analysis of the situation has uncovered these errors:
1. The sum of the debits in the Cash account is $37,175 and the sum of the credits is $30,540.
2. A $275 payment from a credit customer was posted to Cash but was not posted to Accounts Receivable.
3. A credit purchase of office supplies for $400 was not posted at all.
4. A transposition error occurred in copying the balance of the Services Revenue account to the trial balance. The correct amount was $23,250.
Other errors were made in placing account balances in the wrong trial balance columns and in taking the totals of the columns.

Required
Prepare a corrected trial balance.

Transcribed Image Text:

Wicked Dance Trial Balance December 31, 2023 Debit Credit $ 5,500 Cash Accounts receivable Office supplies Office equipment Accounts payable Paula Fernandes, Capital Services revenue Wages expense Rent expense Advertising expense Totals 2,650 20,500 16,745 $ 7,900 9,465 22,350 6,000 4,800 1,250 $45,395 $52,340