On December 12, 2011, an investment costing $80,000 was sold for $100,000. The total of the sale

Question:

On December 12, 2011, an investment costing $80,000 was sold for $100,000. The total of the sale proceeds was credited to the investment account.

Required:

1. Prepare the journal entry to correct the error assuming it is discovered before the books are adjusted or closed in 2011. (Ignore income taxes.)

2. Prepare the journal entry to correct the error assuming it is not discovered until early 2012. (Ignore income taxes.)

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Intermediate Accounting

ISBN: 978-0077400163

6th edition

Authors: J. David Spiceland, James Sepe, Mark Nelson

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Question Posted: Jul 02, 2013 06:19 AM

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On December 12, 2011, an investment costing $80,000 was sold for $100,000. The total of the sale

Question:

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Requirement 1 Error discovered before the books are adjusted or ...View the full answer

Intermediate Accounting

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