P4-6A
Joe Edmonds, CPA, was retained by FOX Inc. to prepare financial statements
for April 2008. Edmonds accumulated all the ledger balances per Clark’s records and found
the following.
FOX CABLE INC.
Trial Balance
April 30, 2008
Debit Credit
Cash $ 4,100
Accounts Receivable 3,200
Supplies 800
Equipment 10,600
Accumulated Depreciation $ 1,350
Accounts Payable 2,100
Salaries Payable 700
Unearned Revenue 890
Common Stock 10,000
Retained Earnings 2,900
Service Revenue 5,450
Salaries Expense 3,300
Advertising Expense 600
Miscellaneous Expense 290
Depreciation Expense 500
$23,390 $23,390
Joe Edmonds reviewed the records and found the following errors.
DATA SKIPPED !!!!!
Instructions
(a) Prepare an analysis of each error showing (1) the incorrect entry, (2) the correct entry, and
(3) the correcting entry. Items 4 and 5 occurred on April 30, 2008.
(b) Prepare a correct trial balance
for April 2008. Edmonds accumulated all the ledger balances per Clark’s records and found
the following.
FOX CABLE INC.
Trial Balance
April 30, 2008
Debit Credit
Cash $ 4,100
Accounts Receivable 3,200
Supplies 800
Equipment 10,600
Accumulated Depreciation $ 1,350
Accounts Payable 2,100
Salaries Payable 700
Unearned Revenue 890
Common Stock 10,000
Retained Earnings 2,900
Service Revenue 5,450
Salaries Expense 3,300
Advertising Expense 600
Miscellaneous Expense 290
Depreciation Expense 500
$23,390 $23,390
Joe Edmonds reviewed the records and found the following errors.
DATA SKIPPED !!!!!
Instructions
(a) Prepare an analysis of each error showing (1) the incorrect entry, (2) the correct entry, and
(3) the correcting entry. Items 4 and 5 occurred on April 30, 2008.
(b) Prepare a correct trial balance
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