The Following Trial Balance Is Prepared from the General Ledger

question 157

Essay

The following trial balance is prepared from the general ledger of Hal's Auto Repair.
Because the trial balance did not balance, you decided to examine the accounting records. You found that the following errors had been made:
1. A purchase of supplies on account for $245 was posted as a debit to Supplies and as a debit to Accounts Payable.
2. An investment of $500 cash by the owner was debited to Hal Frederick, Capital and credited to Cash.
3. In computing the balance of the Accounts Receivable account, a debit of $600 was omitted from the computation.
4. One debit of $300 to the Hal Frederick, Withdrawals account was posted as a credit.
5. Office equipment purchased for $800 was posted to the Repair Equipment account.
6. One entire entry was not posted to the general ledger. The transaction involved the receipt of $125 cash for repair services performed for cash.
Prepare a corrected trial balance for the Hal's Auto Repair as of October 31.

---

Definitions:

Health Act

Legislation aimed at regulating healthcare practices, ensuring public health and safety, and often providing guidelines for healthcare providers and institutions.

Civil Penalties

A form of punishment imposed by a governmental entity for violations of certain laws or regulations, typically involving a monetary fine without criminal intentions.

Criminal Penalties

Criminal penalties refer to the sanctions imposed by a court following a conviction for a criminal offense, such as fines, probation, or imprisonment.

EEOC

Equal Employment Opportunity Commission, a federal agency responsible for enforcing laws against workplace discrimination.