Hi, i have tried this more times then i can remember but still its not balancing, i know it has something to do with the adjusted posts (see below)

Question:

1. Amount of $500 was not posted to the debit side of bank account
2. Amount of $750 was incorrectly posted to the credit side of Accounts Receivable when it should have been a debit
3. Adjust the balances for bank and accounts receivable and make the Trial Balance to equal

(do not have the GJ or GL, only TB to work with)

Original Trial Balance:

DEBIT
Bank 12,000
Accounts Receivable 14,300
Inventory 9,550
Sales 241,650
Advertising 25,000
Plant & Machinery 41,250
Bank Charges 525
Allowance for doubtful debt 200

CREDIT
Interest Expense 1,100
Motor Vehicles 25,000
GST Clearing 1,300
Accounts Payable 13,700
Mortgage 30,000
Owners Equity 20,000
Drawings 2,250
Bad debts 275
Wages 65,200
Cost of goods sold 110,500
Interest Received 2,100

My Trial Balance

DEBIT
Bank 12,500 (added 500)
A/R 15,050 (added 750)
Allowance for doubtful debts 200
Inventory 9,550
Plant & Mach 41,250
Motor Veh 25,000
Drawings 2,250
COGS 110,500
Advertising 25,000
Wages 65,200
Interest Expense 1,100
Bad Debts 275
Bank Charges 525

CREDIT
A/P 13,700
GST Clearing (assuming its gst collected, no further details given to me) 1,300
Mortgage 30,000
Owners Equity 20,000
Sales 241,650
Interest Received 2,100

Totals 308,400 | 308,750

I believe it has something to do with the A/R account, since it was originally posted as a credit, then it would affect the bank account, im not really sure but i would appreciate any help at all.

Thanks

pready

Your Debits are:
Cash - 12,500
A/R - 15,800 (14,300 + 750 +750) To get to correct Amount
Inventory - 9,550
PP&E - 41,250
Vechicles - 25,000
drawing - 2,250
COGS - 110,500
Advestising Expense - 25,000
Bank Charges - 525
Interest Expense - 1,100
Bad Debt Expense - 275
Wages Expense - 65,200

Your Credits are:
Allowance for doubtful Accts - 200 (Contra A/R Account)
A/P - 13,700
mortgage Payable - 30,000
Owners Equity - 20,000
Sales Revenue - 241,650
Interest Revenue - 2,100
GST Clearing - 1,300

Totals are:
Debits - 308,950
Credits - 308,950

Stokbeer

Thanks heaps Pready for taking the time to help me out.

Much appreciated.

rob2741

Yeah good explanation pready. good job