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The following errors took place in journalizing and posting transactions:

a. Cash of $8,800 received on account was recorded as a debit to Fees Earned and a credit to Cash.
b. A $1,760 purchase of supplies for cash was recorded as a debit to Supplies Expense and a credit to Accounts Payable.

Required:
Journalize the entries to correct the errors.

Respuesta :

Answer and Explanation:

The journal entries are given below:

a. Cash A/c Dr 17600

         To Fees earned 8800

       To Accounts Receivable 8800

(being wrong entry made, now rectified)

b

Accounts Payable Dr 1760

        To Supplies Expense 1760

Supplies a/c Dr 1760

          To Cash 1760

(being wrong entry made, now rectified)

These 3 entries should be recorded for the two parts