Wilm Schmidt, the owner of Wilm's Window Washing Services, had difficulty getting the debits to equal...

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Wilm Schmidt, the owner of Wilm's Window Washing Services, had difficulty getting the debits to equal credits on the January 31, 2023, trial balance. Wilm's Window Washing Services Trial Balance January 31, 2023 Debit Credit Cash $ 12,500 Accounts receivable 10,140 Prepaid insurance 3,300 Equipment 33,000 Accounts payable $ 10,800 Wilm Schmidt, capital 54,000 Wilm Schmidt, withdrawals 9,860 Service revenues 61,700 Salaries expense 32,900 Insurance expense 6,100 Maintenance expense Utilities expense Total 13,900 6,100 $127,800 $126,500 The following errors were discovered: a. Schmidt did not post a $4,900 purchase of equipment on credit. b. In posting a $1,850 collection from a credit customer, Schmidt debited Accounts Receivable and credited Cash. c. In posting a cash receipt, Schmidt correctly debited Cash for $2,660 but incorrectly credited Accounts Receivable for $6,260. d. In posting a $4,900 payment on account, Schmidt debited Accounts Payable but forgot to post the credit to Cash. e. In posting the entry for services of $2,700 performed for a customer on credit, Schmidt debited Accounts Receivable but credited Maintenance Expense. Required: Prepare a corrected trial balance. Wilm Schmidt, the owner of Wilm's Window Washing Services, had difficulty getting the debits to equal credits on the January 31, 2023, trial balance. Wilm's Window Washing Services Trial Balance January 31, 2023 Debit Credit Cash $ 12,500 Accounts receivable 10,140 Prepaid insurance 3,300 Equipment 33,000 Accounts payable $ 10,800 Wilm Schmidt, capital 54,000 Wilm Schmidt, withdrawals 9,860 Service revenues 61,700 Salaries expense 32,900 Insurance expense 6,100 Maintenance expense Utilities expense Total 13,900 6,100 $127,800 $126,500 The following errors were discovered: a. Schmidt did not post a $4,900 purchase of equipment on credit. b. In posting a $1,850 collection from a credit customer, Schmidt debited Accounts Receivable and credited Cash. c. In posting a cash receipt, Schmidt correctly debited Cash for $2,660 but incorrectly credited Accounts Receivable for $6,260. d. In posting a $4,900 payment on account, Schmidt debited Accounts Payable but forgot to post the credit to Cash. e. In posting the entry for services of $2,700 performed for a customer on credit, Schmidt debited Accounts Receivable but credited Maintenance Expense. Required: Prepare a corrected trial balance.

Answer rating: 100% (QA)

To prepare a corrected trial balance we need to identify and correct the errors in the original trial balance Lets go through each error and make the ... View the full answer