Effect of errors on trial balance The following errors occurred in posting from a two-column journal: 1. A credit of $4,560 to Accounts Payable was not posted. 2. An entry debiting Accounts Receivable and crediting Fees Eamed for $19,300 was not posted. 3. A debit of $870 to Accounts Payable was posted as a credit. 4. A debit of $1,270 to Supplies was posted twice. 5. A debit of $1,080 to Cash was posted to Miscellaneous Expense. 6. A credit of $270 to Cash was posted as $720. 7. A debit of $5,820 to Wages Expense was posted as $5,280. Considering each case individually (I.e., assuming that no other errors had occurred): (a) Indicate by "yes" or "no" whether the trial balance would be out of balance. (b) If the answer to (a) is "yes", indicate the amount by which the trial balance totals would differ. (c) Indicate whether the debit or credit column of the trial balance would have the larger total. If "no", enter "0" in the difference column and select "neither" from the drop box under "Larger Total". Enter all amounts as positive numbers. Answers should be presented in the following form, with error (1) given as an example:

An aging of a company's accounts receivable indicates an estimate of uncollectible accounts of $5,353. If Allowance for Doubtful Accounts has a $1,093 debit balance, the adjustment to journalize the bad debt expense for the period will require a a. debit to Bad Debt Expense for $6,446 b. debit to Bad Debt Expense for $5,353 c. credit to Allowance for Doubtful Accounts for $1,093 d. debit to Bad Debt Expense for $4,260

Allowance Method versus Direct Write-Off Method  On March 10, May, Inc., declared a $2,500 account receivable from Anders Company as uncollectible and wrote off the account. On November 18, May received a $800 payment on the account from Anders. Assume that May uses the allowance method of handling credit losses. Prepare the journal entries to record the write-off and the subsequent recovery of Anders’s account.   Assume that May uses the direct write-off method of handling credit losses. Prepare the journal entries to record the write-off and the subsequent recovery of Anders’s account.   Assume that the payment from Anders arrives on the following February 5, rather than on November 18 of the current year. (1) Prepare the journal entries to record the write-off and subsequent recovery of Anders’s account under the allowance method. (2) Prepare the journal entries to record the write-off and subsequent recovery of Anders’s account under the direct write-off method.    a. General…

Journalize the following transactions, using the direct write-off method of accounting for uncollectible receivables. Question Content Area Mar. 17:  Received $3,240 from Shawn McNeely and wrote off the remainder owed of $5,020 as uncollectible. If an amount box does not require an entry, leave it blank. Date Account Debit Credit Mar. 17   - Select - - Select -     - Select - - Select -     - Select - - Select -   Question Content Area July 29:  Reinstated the account of Shawn McNeely and received $5,020 cash in full payment. If an amount box does not require an entry, leave it blank. Date Account Debit Credit July 29   - Select - - Select -     - Select - - Select - July 29   - Select - - Select -     - Select - - Select -