A New Employee with Little Accounting Knowledge Prepared the Following $\quad$

question 153

Essay

A new employee with little accounting knowledge prepared the following trial balance. Prepare a corrected trial balance as of December 31, 2019, based on the incorrect trial balance and the additional data. $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text {Dillon's Publishing Service}$
$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text {Trial Balance}$
$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text {December 31,2019}$
$\begin{array} { l r r } & \text { Debit } & \text { Credit } \\ \text { Cash } & \$ 35,000 & \\ \text { Accounts receivable } & 11,500 & \\ \text { Office supplies } & 1,500 & \\ \text { Prepaid insurance } & 800 & \\ \text { Office equipment } & 14,000 & \\ \text { Accounts payable } & & \$ 18,000 \\ \text { Note payable } & & 9,250 \\ \text { Martin Dillon, Capital } & & 34,000 \\ \text { Martin Dillon, Withdrawals } & 2,800 & \\ \text { Service revenue } & 71,300 & \\ \text { Salary expense } & & 9,200 \\ \text { Rent expense } & & 7,500 \\ \text { Advertising expense } & \underline{3,500 }&\underline{\quad\quad} \\ \text { Total } &\underline{\underline{ \$ 140,400}} & \underline{\underline{\$ 77,950 }}\end{array}$ Additional data:
- All accounts have a normal balance.
- Service revenue has a transposition error.
- Note payable is understated by $7,250.

Understand the fundamental principles of international trade and the concept of comparative advantage.

Identify the factors that determine the terms of trade between nations.

Analyze how specialization and trade affect the production possibilities and economic outcomes for countries.

Identify key global leaders in exports and understand the significance of their roles in international trade.

---

Definitions:

Self-Interest

The consideration of one's own advantage or well-being as the primary motivating factor for actions.

Larger Goal

An overarching ambition or aim that guides a set of smaller objectives or tasks.

Ingroup Bias

The tendency to favor and extend better treatment to members of one's own group over those of other groups.

Outgroup Homogeneity

The perception that members of an outgroup are more similar to each other than they actually are, or more similar than members of the ingroup.