The Following Account Balances Were Listed on the Trial Balance

question 26

Multiple Choice

The following account balances were listed on the trial balance of Edgar Company at the end of the period: $\begin{array}{lr}\text { Account } & \text { Balance } \\\text { Accounts Payable } & 30,600 \\\text { Cash } & 48,900 \\\text { Common Stock } & 30,000 \\\text { Equipment } & 13,500 \\\text { Land } & 45,000 \\\text { Notes Payable } & 60,000\end{array}$ The company's trial balance is not in balance and the company's accountant has determined that the error is in the cash account.What is the correct balance in the cash account?

• A)$57,900
• B)$31,500
• C)$2,100
• D)$62,100

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Definitions:

Percentage-of-Sales Method

A budgeting technique for marketing or advertising that bases the budget on a fixed percentage of the sales revenue.

Affordable Method

A promotion-mix budgeting strategy in which firms set their promotion budget based on what they believe they can afford.

Promotional Budget

The allocation of financial resources dedicated to marketing and advertising activities over a specified period.

Promotional Message

Communication designed to inform, persuade, or remind potential buyers about a product or service, often as part of a broader marketing strategy.