[chelle7906]

Any help with this would be greatly appreciated!

This trial balance of Titus Co. does not balance.

TITUS COMPANY
Trial Balance
June 30, 2010
Debit Credit
Cash $4,890
Accounts Receivable $5,260
Supplies 1,219
Equipment 4,800
Accounts Payable 5,466
Unearned Revenue 1,619
Common Stock 10,800
Dividends 800
Service Revenue 5,280
Salaries Expense 3,501
Office Expense 910
Totals $18,109 $26,436

Each of the listed accounts has a normal balance per the general ledger. An examination of the ledger and journal reveals the following errors:

1. Cash received from a customer on account was debited for $570, and Accounts Receivable was credited for the same amount. The actual collection was for $970.
2. The purchase of a typewriter on account for $343 was recorded as a debit to Supplies for $343 and a credit to Accounts Payable for $343.
3. Services were performed on account for a client for $800. Accounts Receivable was debited for $80 and Service Revenue was credited for $800.
4. A debit posting to Salaries Expense of $599 was omitted.
5. A payment on account for $206 was credited to Cash for $206 and credited to Accounts Payable for $260.
6. Payment of a $657 cash dividend to Titus's stockholders was debited to Salaries Expense for $657 and credited to Cash for $657.
Complete the correct trial balance

So here's what I think has to be done to fix the errors...
1. Cr. Cash 400
Dr. accounts rec. 400
2. Cr. Supplies 343
Dr. equipment 342
3. Dr. accounts rec. 720
4. Dr. salaries expense 599
5. Dr. accounts payable 54
6. Dr. dividends 657
Cr. Salaries expense 657

My problem now is that even if what I think has to be done is right, I don't understand how to go back and make these adjustments to the trial balance in order to make it work.

[chelle7906]

Forgot to add this...

cash balance is under credit
accounts rec. = debit
supplies = debit
equipment = debit
accounts payable = credit
unearned revenue = debit
common stock = credit
dividends = debit
service revenue = credit
salaries expense = debit
office expenses = debit

[pready]

First you need to set up a trial balance with the amounts in the correct Debit or Credit column. I have attached a trial balance, so you know what it will look like at this stage.

Remember that Assets, Expenses, and Dividends have a normal Debit Balance. Your other accounts you are using Have a normal Credit Balance.

Next you should set a T-account for all of your accounts with the balance in the appropriate debit or credit side of the T-account. Debits go on the left side of the T and Credits go on the right side. The account name goes on top of the T.

Next you need to analyze the errors. You need to figure out what the correct entry should have been, then reverse the entry(if needed), then correct the error. After this you need to post the entry to your T-accounts.

After you have posted all the transactions to your T-accounts, you need to post them to the trial balance, then total you Debits and your Credits. They should equal, if not check your work because you may have posted an entry to the wrong account or balance, or you posted a debit to a credit, and vice versa, or you missed posting an entry.

For your errors:
1. this transaction was short $400, so you need to Debit Cash for 400, and Credit Accounts Receivable for 400.

2. The Debit was posted to the worng account, so to correct it you Debit Equipment for 343, and Credit Supplies for 343.

3. The debit was posted in the wrong amount, so to correct this you Debit Accounts Receivable for 720.

4. A Debit entry is missing, so to correct this you Debit Salaries Expense for 599.

5. This has a lot of errors, so first reverse the entry by Debiting Cash for 206, and Debit Accounts Payable for 260, then to correct the error you Debit cash for 206, and Credit Accounts Receivable for 206.

6. The debit entry was posted to the wrong account, so to correct the error, you Debit Dividends for 657, and Credit Salaries Expense for 657.

You should now be able to post all these transactions. Your Debits and Credits should now balance at 22,905