[cathleens]

I am having trouble with eyeballing a trail balance. I understand the normal balance for each account. Asset account has a normal debit. Liability account is credit. Owner?s equity account has a normal credit. Expense account has a normal debit. I also understand about the contra account. But when I read this last night I could not answer my accounting question.

When correct account balance May not be normal:
?An account balance that is not normal is incorrect, but there are exceptions. For example if a company overdraws its bank account, the cash account (normal debit balance) will have a temporary credit balance. Similarly, if bills are overpaid, Accounts Payable (normal credit balance) may have a temporary debit balance. If a company is operating at a loss, Retained Earnings (credit balance) may have a debit balance.

What does this mean for the trail balance?
If I have a question that say
1. Eyeballing this trail balance and find the error.
A. Accumulated Dep. Credit
B. Accounts Payable credit
C. Retain Earning Debit
D. Rent expense credit

I would think the error would be rent expenses. Is this right?
Is there something to read to help me with eyeballing a trail balance? I am also having trouble with find unreasonable high and low balances on the trail balance. I need help!

[pready]

By looking at a trial balance a Credit in an Expense Account would signal an error to me. Also if Retained Earnings has a Debit balance it would have to be looked into, because the company may have had a loss.