Question

The following trial balance of Headland Co. does not balance.

HEADLAND CO. TRIAL BALANCE JUNE 30, 2017
		Debit			Credit
Cash					$3,003
Accounts Receivable		$3,364
Supplies		933
Equipment		3,933
Accounts Payable					2,799
Unearned Service Revenue		1,333
Common Stock					6,133
Retained Earnings					3,133
Service Revenue					2,513
Salaries and Wages Expense		3,533
Office Expense		1,073
Totals		$14,169			$17,581

Each of the listed accounts should have a normal balance per the general ledger. An examination of the ledger and journal reveals the following errors.

1.		Cash received from a customer on account was debited for $570, and Accounts Receivable was credited for the same amount. The actual collection was for $750.
2.		The purchase of a computer printer on account for $633 was recorded as a debit to Supplies for $633 and a credit to Accounts Payable for $633.
3.		Services were performed on account for a client for $890. Accounts Receivable was debited for $890 and Service Revenue was credited for $89.
4.		A payment of $198 for telephone charges was recorded as a debit to Office Expense for $198 and a debit to Cash for $198.
5.		When the Unearned Service Revenue account was reviewed, it was found that service revenue amounting to $458 was performed prior to June 30 (related to Unearned Service Revenue).
6.		A debit posting to Salaries and Wages Expense of $803 was omitted.
7.		A payment on account for $206 was credited to Cash for $206 and credited to Accounts Payable for $260.
8.		A dividend of $708 was debited to Salaries and Wages Expense for $708 and credited to Cash for $708 Prepare a correct trial balance.

Answer 1