Maurice Tutor

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    Argosy University/ Phoniex University/
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    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 13 Aug 2017 My Price 3.00

Western Realty Co.

Assume that Western Realty Co. borrowed $200,000 from Mountain First Bank and Trust. In recording the transaction, Western erroneously recorded the receipt as a debit to Cash, $200,000, and a credit to Fees Earned, $200,000.
(a) How would this error affect the equality of the trial balance?
(b) How would this error affect the income statement retained earnings statement, and balance sheet?

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Maurice Tutor
(5)
Status NEW Posted 13 Aug 2017 11:08 AM My Price 3.00

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