The following trial balance of Teal Mountain Co. does not balance. Teal Mountain Co. Trial Balance...
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The following trial balance of Teal Mountain Co. does not balance. Teal Mountain Co. Trial Balance June 30, 2022 Debit Credit Cash $1,660 Accounts Receivable $2,440 Supplies 1,200 Equipment 2,300 Accounts Payable 3,588 Unearned Service Revenue 1,100 Owner's Capital 7,600 Owner's Drawings 2,726 Service Revenue 2,680 Salaries and Wages Expense 3,274 Utilities Expense 900 $13,940 $15,726 Each of the listed accounts has a normal balance per the general ledger. An examination of the ledger and journal reveals the following errors. 1 2 3. Cash received from a customer in payment of its account was debited for $730, and Accounts Receivable was credited for the same amount. The actual collection was for $370. The purchase of a computer on account for $700 was recorded as a debit to Supplies for $700 and a credit to Accounts Payable for $700. Services were performed on account for a client for $600. Accounts Receivable was debited for $600, and Service Revenue was credited for $60. 4. Adebit posting to Salaries and Wages Expense of $700 was omitted. 5. A payment of a balance due for $10B was credited to Cash for $108 and credited to Accounts Payable for $160. 6. The withdrawal of $674 cash for Teal's personal use was debited to Salaries and Wages Expense for $674 and credited to Cash for $674. Prepare a correct trial balance. (Hint: It helps to prepare the correct journal entry for the transaction described and compare it to the mistake made.) The following trial balance of Teal Mountain Co. does not balance. Teal Mountain Co. Trial Balance June 30, 2022 Debit Credit Cash $1,660 Accounts Receivable $2,440 Supplies 1,200 Equipment 2,300 Accounts Payable 3,588 Unearned Service Revenue 1,100 Owner's Capital 7,600 Owner's Drawings 2,726 Service Revenue 2,680 Salaries and Wages Expense 3,274 Utilities Expense 900 $13,940 $15,726 Each of the listed accounts has a normal balance per the general ledger. An examination of the ledger and journal reveals the following errors. 1 2 3. Cash received from a customer in payment of its account was debited for $730, and Accounts Receivable was credited for the same amount. The actual collection was for $370. The purchase of a computer on account for $700 was recorded as a debit to Supplies for $700 and a credit to Accounts Payable for $700. Services were performed on account for a client for $600. Accounts Receivable was debited for $600, and Service Revenue was credited for $60. 4. Adebit posting to Salaries and Wages Expense of $700 was omitted. 5. A payment of a balance due for $10B was credited to Cash for $108 and credited to Accounts Payable for $160. 6. The withdrawal of $674 cash for Teal's personal use was debited to Salaries and Wages Expense for $674 and credited to Cash for $674. Prepare a correct trial balance. (Hint: It helps to prepare the correct journal entry for the transaction described and compare it to the mistake made.)
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