Some of the Following Errors Would Cause the Debit and Credit

question 67

Essay

Some of the following errors would cause the debit and credit columns of the trial balance to have unequal totals. For each of the four cases, state whether the error would cause unequal totals in the trial balance. If the error causes unequal totals, indicate the amount of difference between the columns and state whether the debit or credit is larger. Each case is to be considered independently of the others.
1. A payment of $500 to a creditor was recorded by a debit to Accounts Payable of $50 and a credit to Cash of $500.
2. A $480 payment for a printer was recorded by a debit to Equipment of $48 and a credit to Cash for $48.
3. An account receivable in the amount of $2,500 was collected in full. The collection was recorded by a debit to Cash for $2,500 and a debit to Accounts Payable for $2,500.
4. An account payable was paid by issuing a check for $800. The payment was recorded by debiting Accounts Payable $800 and crediting Accounts Receivable $800.

Describe the trade-offs between efficiency and equality and how government policies can affect these concepts.

Identify and calculate the opportunity cost of various decisions.

Analyze how the marginal analysis framework applies to decision-making.

Explain how government intervention can impact economic efficiency and income distribution.

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Definitions:

Severe Depression

A form of depression characterized by profound feelings of sadness, hopelessness, and lack of interest or pleasure in most activities, significantly affecting a person's daily functioning.

Obsessive-Compulsive

Relating to a disorder characterized by intrusive thoughts (obsessions) that produce uneasiness and repetitive behaviors (compulsions) aimed at reducing the anxiety.

Delusional

Relating to or characterized by delusions, which are persistent false beliefs maintained despite evidence to the contrary, often symptomatic of psychiatric disorders.

Post-Traumatic Stress

A disorder characterized by failure to recover after experiencing or witnessing a terrifying event.