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Exercise 3-3
The following trial balance of Coronado Traveler Corporation does not balance.
| CORONADO TRAVELER CORPORATION TRIAL BALANCE APRIL 30, 2017 |
| | | Debit | | Credit |
| Cash | | | $6,985 | | | | | |
| Accounts Receivable | | | 5,610 | | | | | |
| Supplies | | | 3,337 | | | | | |
| Equipment | | | 6,470 | | | | | |
| Accounts Payable | | | | | | | $7,414 | |
| Common Stock | | | | | | | 8,370 | |
| Retained Earnings | | | | | | | 2,370 | |
| Service Revenue | | | | | | | 5,570 | |
| Office Expense | | | 4,690 | | | | | |
| | | | $27,092 | | | | $23,724 | |
An examination of the ledger shows these errors.
| 1. | | Cash received from a customer on account was recorded (both debit and credit) as $1,380 instead of $1,830. |
| 2. | | The purchase on account of a computer costing $3,014 was recorded as a debit to Office Expense and a credit to Accounts Payable. |
| 3. | | Services were performed on account for a client, $2,620, for which Accounts Receivable was debited $2,620 and Service Revenue was credited $262. |
| 4. | | A payment of $465 for telephone charges was entered as a debit to Office Expense and a debit to Cash. |
| 5. | | The Service Revenue account was totaled at $5,570 instead of $5,650. |
From this information prepare a corrected trial balance.
| CORONADO TRAVELER CORPORATION TRIAL BALANCE APRIL 30, 2017 |
| | Debit | Credit |
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| $ 
| $ 
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| Totals | $ 
| $ 
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Answer & Explanation
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