Q4TI - Horngren'S Financial And Managerial Accounting

Question

Using the following accounts and their balances, prepare the trial balance for Cooper Furniture Repair as of December 31, 2018. All accounts have normal balances. 

Cash \( 7,000                                  Advertising Expense \) 1,200 

Unearned Revenue 4,500           Utilities Expense 800 

Equipment 10,000                        Rent Expense 5,000 

Service Revenue 8,000                Accounts Payable 2,300 

Common Stock 12,200                Dividends 3,000

Step-by-Step Solution

Answer

The trial balance is the worksheet that records all the balances of the ledger account and the required trial balance is prepared with a total of $27,000

Step 1: Definition of trial balance

The trial balance is defined as an accounting report which summarises the balances of all the ledger with their balances

Step 2: Preparation of trial balance