At Year-End, Henry Laundry Service, Inc

question 67

Essay

At year-end, Henry Laundry Service, Inc. noted the following errors in its trial balance:
1. It understated the total debits to the Cash account by $500 when computing the account balance.
2. A credit sale for $311 was recorded as a credit to the revenue account, but the offsetting debit was not posted.
3. A cash payment to a creditor for $2,600 was never recorded.
4. The $680 balance of the Prepaid Insurance account was listed in the credit column of the trial balance.
5. A $24,900 van purchase was recorded as a $24,090 debit to Equipment and a $24,090 credit to Notes Payable.
6. A purchase of office supplies for $150 was recorded as a debit to Office Equipment. The offsetting credit entry was correct.
7. An additional investment of $4,000 by Del Henry was recorded as a debit to Common Stock and as a credit to Cash.
8. The cash payment of the $510 utility bill for December was recorded (but not paid) twice.
9. The revenue account balance of $79,817 was listed on the trial balance as $97,817.
10. A $1,000 cash withdrawal by the stockholder was recorded as a $100 debit to Dividends and $100 credit to cash.
Using the form below, indicate whether each error would cause the trial balance to be out of balance, the amount of any imbalance, and whether a correcting journal entry is required. $\begin{array} { |l|l|l|l|l|l|}\hline& \begin{array}{c}\text { Would } \\\text { the }\\\text { error } \\\text { cause } \\\text { the trial } \\\text { balance } \\\text { to be out } \\\text { of } \\\text { balance? } \\\end{array}&&\begin{array}{c}\text { Amount } \\\text { of } \\\text { Imbalance } \\\end{array}&\begin{array}{c}\text { Correcting } \\\text { Journal } \\\text { Entry } \\\text { Required } \\\end{array}\\\hline\text { Error } & \text { Yes } & \text { No }&& \text { Yes } & \text { No }\\\hline1\\\hline2\\\hline3\\\hline4\\\hline5\\\hline6\\\hline7\\\hline8\\\hline9\\\hline10\\\hline\end{array}$

Examine the negative consequences of globalization beyond economic and cultural effects.

Compare and contrast modernization and dependency theories as explanations for the mechanisms of globalization.

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Understand and analyze the relevance of postcolonial and feminist theories in globalization discourse.

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Definitions:

Parameter

A numerical characteristic of a population, as opposed to a statistic, which is a characteristic of a sample.

Critical Value

A threshold value in hypothesis testing, beyond which there is evidence against the null hypothesis.

T Value

A value derived from a T-distribution used in hypothesis testing and in generating confidence intervals.

Individual Parameter

A specific characteristic or measure of a statistical model or equation that applies to an individual case or entity.