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Category > Accounting Posted 19 May 2017 My Price 5.00

A $500 purchase of merchandise on account from lore company was properly

 

A $500 purchase of merchandise on account from lore company was properly recorded in the purchases journal. When posted, however, the the amount recorded in the subsidiary ledger was $50. How might this error be discovered?
 
 

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Status NEW Posted 19 May 2017 11:05 AM My Price 5.00

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file 1495192252-1582310_1_636306784842653641_1582310.docx preview (141 words )
A----------- $5-----------00 -----------pur-----------cha-----------se -----------of -----------mer-----------cha-----------ndi-----------se -----------on -----------acc-----------oun-----------t f-----------rom----------- Lo-----------re -----------Com-----------pan-----------y w-----------as -----------pro-----------per-----------ly -----------rec-----------ord-----------ed -----------in -----------the----------- pu-----------rch-----------ase-----------s j-----------our-----------nal-----------. W-----------hen----------- po-----------ste-----------d, -----------how-----------eve-----------r, -----------the----------- am-----------oun-----------t r-----------eco-----------rde-----------d i-----------n t-----------he -----------sub-----------sid-----------iar-----------y l-----------edg-----------er -----------was----------- $5-----------0. -----------How----------- mi-----------ght----------- th-----------is -----------err-----------or -----------be -----------dis-----------cov-----------ere-----------d? ----------- So-----------lut-----------ion----------- W-----------hen----------- we----------- ma-----------ke -----------pos-----------tin-----------gs -----------to -----------bot-----------h t-----------he -----------gen-----------era-----------l l-----------edg-----------er -----------and----------- th-----------e s-----------ubs-----------idi-----------ary----------- ac-----------cou-----------nts----------- at----------- th-----------e e-----------nd -----------of -----------the----------- mo-----------nth-----------, t-----------he -----------tot-----------al -----------of -----------sub-----------sid-----------iar-----------y a-----------cco-----------unt----------- ba-----------lan-----------ces----------- mu-----------st -----------equ-----------al -----------to -----------the----------- co-----------ntr-----------ol -----------acc-----------oun-----------t b-----------ala-----------nce-----------s i-----------n t-----------he -----------gen-----------era-----------l
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