Accounting 26th Edition by Carl Warren ,Jim Reeve ,Jonathan Duchac

Exercise 55

Corrected trial balance
Tech Support Services has the following unadjusted trial balance as of January 31, 2016:

The debit and credit totals are not equal as a result of the following errors:
a. The cash entered on the trial balance was overstated by $8,000.
b. A cash receipt of $4,100 was posted as a debit to Cash of $1,400.
c. A debit of $12,350 to Accounts Receivable was not posted.
d. A return of $235 of defective supplies was erroneously posted as a $325 credit to Supplies.
e. An insurance policy acquired at a cost of $3,000 was posted as a credit to Prepaid Insurance.
f. The balance of Notes Payable was overstated by $21,000.
g. A credit of $3,450 in Accounts Payable was overlooked when the balance of the account was determined.
h. A debit of $6,000 for a withdrawal by the owner was posted as a debit to Thad Engelberg, Capital.
i. The balance of $28,350 in Advertising Expense was entered as $23,850 in the trial balance.
j. Miscellaneous Expense, with a balance of $4,600, was omitted from the trial balance.
Instructions
1. Prepare a corrected unadjusted trial balance as of January 31, 2016.
2. Does the fact that the unadjusted trial balance in (1) is balanced mean that there are no errors in the accounts Explain.