Trial Balance Quiz Question/clarification
In your trial balance, total debits are $264,000 and total credits are $259,500. You have determined that the error may be a transposition and that you may find the error by investigation accounts with balances or which the difference between the first two digits is 5. Which of the following account balances "could " be the problem?a. accts receivable, with an indicated balance of $1600b. Accts payable, with an indicated balance of $1600c. Land with an indicated balance of $4,900d. Both a & cHere's was my thought process.. Clearly they all have the difference of 5. I chose both a&c due to the wording of "could" and knowing they are both debits... the debit total was higher than the credit total. Of course I got it wrong and still return to the same answer.Any insight would help.thanks
Trial balance quiz question/clarification
In your trial balance, total debits are $264,000 and total credits are $259,500.
You have determined that the error may be a transposition and that you may find the error by investigation accounts with balances or which the difference between the first two digits is 5.
Which of the following account balances "could " be the problem?
a. accts receivable, with an indicated balance of $1600
b. accts payable, with an indicated balance of $1600
c. Land with an indicated balance of $4,900
d. both a & c
Here's was my thought process..
Clearly they all have the difference of 5. I chose both a&c due to the wording of "could" and knowing they are both debits... the debit total was higher than the credit total.
Of course I got it wrong and still return to the same answer.
Any insight would help.
Thanks
