The following journal entries were prepared by an employee of International Marketing Company who does not have an adequate knowledge of accounting.

INSTRUCTIONS
Examine the journal entries carefully to locate the errors. Prepare journal entries to correct the errors. Assume that Office Equipment and Office Supplies were recorded at the correct values. However, the items were paid for entirely in cash, not on credit. Assume the errors are found and corrected on the last day of the month.

Analyze: After the correcting journal entries have been posted, what effect do the correcting entries have on the company’s reported assets

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DATE 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 inl 20X1 1 2 April 3 2 Cash DESCRIPTION 1 Accounts Payable Fees Income Performed services on credit GENERAL JOURNAL Telephone Expense Paid for March telephone service, Check 1917 3 Office Equipment Office Supplies Accounts Payable Purchased file cabinet and office supplies, Check 1918 POST. REF. DEBIT 15800 00 600 00 8200 00 900 00 PAGE CREDIT 3 1 2 15800 00 3 4 6 0 0 00 9 100 00 01 5 19 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20