Identify each account that has an incorrect balance and the amount and direction of the error (e.g., “Accounts Receivable $500 too high”).

Analyzing accounting errors

 

Courtney Meehan has trouble keeping her debits and credits equal. During a recent month, Courtney made the following accounting errors:

a. In preparing the trial balance, Courtney omitted a $5,000 Notes Payable. The debit to Cash was correct.

b. Courtney posted a $1,000 Utilities Expense as $100. The credit to Cash was correct.

c. In recording a $600 payment on account, Courtney debited Furniture instead of Accounts Payable.

d. In Journalizing a receipt of cash for service revenue, Courtney debited Cash for $50 instead of the correct amount of $500. The credit was correct.

e. Courtney recorded a $210 purchase of office supplies on account by debiting Office Supplies for $120 and crediting Accounts Payable for $120.

Requirements

For each of these errors, state whether total debits equal total credits on the trial balance.

Identify each account that has an incorrect balance and the amount and direction of the error (e.g., “Accounts Receivable $500 too high”).

find the cost of your paper

Calculate the firm’s earnings before interest and taxes (EBIT) for sales of 10,000 units.

Stewart Industries sells its finished product for $9 per unit. Its fixed operating costs are $20,000, and the variable operating cost per unit is $5.   a. Calculate the firm’s….

Calculate the operating breakeven point in units.

Grey Products has fixed operating costs of $380,000, variable operating costs of $16 per unit, and a selling price of $63.50 per unit.   a. Calculate the operating breakeven point in units…..

Should Max take on the additional loan payment?

Max Small has outstanding school loans that require a monthly payment of $1,000. He needs to buy a new car for work and estimates that this purchase will add $350….