In: Accounting
Row Labels | Sum of NET DEBIT | Sum of NET CREDIT | |
Accounts Receivable | 22200 | 0 | |
Accumulated Depreciation | 0 | 1100 | |
Allowance for Doubtful Accounts | 0 | 5000 | |
Bad Debt Expense | 5000 | 0 | |
Building | 30000 | 0 | |
Cash | 50628 | 0 | |
Common Stock | 0 | 50000 | |
Computer Supplies | 700 | 0 | |
Depreciation Expense | 1100 | 0 | |
Equipment | 17200 | 0 | |
Insurance Expense | 1350 | 0 | |
Misc. Expense | 325 | 0 | |
Notes Payable | 0 | 26200 | |
Payroll Tax Expense | 4200 | 0 | |
Postage Expense | 250 | 0 | |
Prepaid Insurance | 850 | 0 | |
Rent Expense | 7000 | 0 | |
Repairs Expense | 8300 | 0 | |
Salaries Expense | 15900 | 0 | |
Sales Revenue | 0 | 93800 | |
Supplies | 245 | 0 | |
Supplies Expense | 255 | 0 | |
Training Expense | 1700 | 0 | |
Travel Expense | 7397 | 0 | |
Utilities Expense | 1500 | 0 | |
(blank) | 0 | 0 | |
Grand Total | 0 | 0 | |
2. How much is total liabilities in the trial balance?
176,100
76,200
26,200
32,300
Total Liabilities in the trial balance
= Notes Payable
= 26,200
Correct Answer: 26,200
Notes:
1) Accumulated Depreciation is a contra asset, which should be adjusted against Equipment a/c. It is not a liability.
2) Allowance for Doubtful Accounts is a contract asser, which should be adjusted against Accounts Receivables a/c. It is not a liability.
3) Common Stock is neither an asset nor a liability. It is included in Stockholders' Equity.