The trial balance of Gagne Company shown below does not balance

GAGNE COMPANY
Trial Balance
June 30, 2008
Debit
Cash

$2,600

Accounts receivable

7,600

Supplies

600

Equipment

8,300

Credit

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
Cash

$2,330 (1)

Accounts receivable

7,870 (2)

Supplies

600

Equipment

9,000 (3)

Credit

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

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

$26,900

6. 15200 - 51 + 510 = 15,659

7. 3800 + 300 = 4,100
8. 1600 - 700 = 900