Need help on a problem I've been stuck on for days


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The credit total of a trial balance exceeds the debit total by P350. In investigating the cause of the difference, the following errors were determined:
a credit to accounts receivable of P550 was not posted;
a P5,000 debit to be made to the Purchases account was debited to Accounts payable instead;
a P3,000 credit to be made to the Sales account was credited to the Accounts receivable account instead;
the Interest payable account balance of P4,500 was included in the trial balance as P5,400.
The correct balance of the trial balance is ___________.

I found out that the correct answer is 7,450 but I don't know how it became 7450. Can someone show me the solution
 
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I'd be interested to know where you came up with 7,450 because that's not what I'd expect to see on a trial balance...
 
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bklynboy

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A trial balance will always balance if you post both sides even if to the wrong account. So if credits exceed debits it means someone posted unbalanced journals in the ledger which is a BIG control breakdown. From your items the only ones that would cause an out of balance is credit of 550 not posted (assumes debit side was) and the transpo of 4500 to 5400 (assumed other side was 450. The other items are geography errors and would still balance. So no clue how you get 7450 out of balance
 

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