The trial balance of Gagne Company shown below does not balance

GAGNE COMPANY

Trial Balance

June 30, 2008

Debit Credit
Cash $2,600
Accounts receivable 7,600
Supplies 600
Equipment 8,300
Accounts Payable $9,766
Gagne, Capital 1,952
Gagne, Drawing 1,500
Service Revenue 15,200
Wage Expense 3,800
Repair Expense 1,600
__Total $26,000 $26,918

As examination of the ledger and journal reveals the following errors:

1. Each of the above listed accounts has a normal balance per the general ledger
2. Cash of $360 received from a customer on account was debited to Cash $630 and
credited to Accounts Receivable $630
3. A withdrawal of $300 by the owner was posted as a credit to Gagne, Drawing, $300 and
credited to Cash $30
4. A debit of $300 was not posted to Wages Expense
5. The purchase of equipment on account for $700 was recorded as a debit to Repair
Expense and a credit to Accounts Payable for $700
6. Services werer performed on account for a customer, $510, for which Accounts
Receivable was debited $510 and Service Revenue was credited $51
7. A payment on account for $225 was credited to Cash for $225 and credited to Accounts
Payable for $252

Prepare a correct the Trial Balance (correct or adjust error ).

 Answer:

GAGNE COMPANY

Trial Balance

June 30, 2008

Debit Credit
Cash $2,330 (1)
Accounts receivable 7,870 (2)
Supplies 600
Equipment 9,000 (3)
Accounts Payable $9,289 (4)
Gagne, Capital 1,952
Gagne, Drawing 2,100 (5)
Service Revenue 15,659 (6)
Wage Expense 4,100 (7)
Repair Expense 900 (8)
__Total $26,900 $26,900

Calculation:

1. 2600 - 630 +360 = 2330

2. 7600 + 630 - 300 = 7870
3. 8300 + 700 = 9000
4. 9766 - 252 - 225 = 9,289
5. 15000 + 300 + 300 = 21,000
6. 15200 - 51 + 510 = 15,659
7. 3800 + 300 = 4,100
8. 1600 - 700 = 900