Posting errors are identified below. For each item complete parts 1 through 4 described below: 1. Enter the amount of the difference between the two trial balance columns (debit and credit) due to the error. 2. Identify the trial balance column (debit or credit) with the larger amount if they are not equal. 3. Identify the account(s) affected by the error. 4. Indicate the amount by which the account(s) in column (3) is under- or overstated. Item (a) is completed as an example. a. $1,750 debit to Rent Expense is posted as a $1,570 debit. (1) Difference between Debit and Credit Columns $180 (2) Column with the Larger Total Credit (3) Identify account(s) incorrectly stated Rent Expense (4) Amount that account(s) is overstated or understated Rent Expense is understated by $180

Posting errors are identified below. For each item complete parts 1 through 4 described below:

      

1.	Enter the amount of the difference between the two trial balance columns (debit and credit) due to the error.
2.	Identify the trial balance column (debit or credit) with the larger amount if they are not equal.
3.	Identify the account(s) affected by the error.
4.	Indicate the amount by which the account(s) in column (3) is under- or overstated.

          

Item (a) is completed as an example.

       

a.	$1,750 debit to Rent Expense is posted as a $1,570 debit.

     

(1)	Difference between Debit and Credit Columns
	$180
(2)	Column with the Larger Total
	Credit
(3)	Identify account(s) incorrectly stated
	Rent Expense
(4)	Amount that account(s) is overstated or understated
	Rent Expense is understated by $180

b.	$3,500 credit to Cash is posted twice as two credits to Cash.

    

(1)	Difference between Debit and Credit Columns
(2)	Column with the Larger Total
	Credit
(3)	Identify account(s) incorrectly stated
	Cash
(4)	Amount that account(s) is overstated or understated. (You may select more than one answer. Click the box with a check mark for correct answers and click to empty the box for the wrong answers.)
	Cash is Understated by $3,500 Cash is Overstated by $3,500 Revenue is understated by $3,500 Revenue is overstated by $3,500 None

c.	$7,000 debit to the Dividends account is debited to Common Stock.

    

(1)	Difference between Debit and Credit Columns

    
    

(2)	Column with the Larger Total
	None

     

(3)	Identify account(s) incorrectly stated
	Common stock and Dividends

     

(4)	Amount that account(s) is overstated or understated. (You may select more than one answer. Click the box with a check mark for correct answers and click to empty the box for the wrong answers.)
	Common stock account is understated by $7,000 Dividends is understated by $7,000 Common stock account is overstated by $7,000 Dividends is overstated by $7,000 None

d.	$1,600 debit to Prepaid Insurance is posted as a debit to Insurance Expense.

    

(1)	Difference between Debit and Credit Columns

    

      

(2)	Column with the Larger Total
	None

     

(3)	Identify account(s) incorrectly stated
	Prepaid insurance and Insurance expense

      

(4)

Amount that account(s) is overstated or understated. (You may select more than one answer. Click the box with a check mark for correct answers and click to empty the box for the wrong answers.)

Insurance expense is overstated by $1,600 Prepaid insurance is understated by $1,600 Prepaid insurance is overstated by $1,600 Insurance expense is understated by $1,600 None e. $30,625 debit to Machinery is posted as a debit to Accounts Payable.      (1) Difference between Debit and Credit Columns           (2) Column with the Larger Total None      (3) Identify account(s) incorrectly stated Machinery and Accounts Payable      (4) Amount that account(s) is overstated or understated. (You may select more than one answer. Click the box with a check mark for correct answers and click to empty the box for the wrong answers. Select all that apply.) Accounts payable is understated by $30,625 Machinery is understated by $30,625 Machinery is overstated by $30,625 Accounts payable is overstated by $30,625 None f. $4,400 credit to Services Revenue is posted as a $440 credit.      (1)   Difference between Debit and Credit Columns           (2) Column with the Larger Total Debit      (3) Identify account(s) incorrectly stated Services revenue       (4) Amount that account(s) is overstated or understated. (You may select more than one answer. Click the box with a check mark for correct answers and click to empty the box for the wrong answers.) Services revenue is overstated by $3,960 Services revenue is understated by $3,960 Cash is overstated by $3,960 Cash is understated by $3,960 None g. $790 debit to Store Supplies is not posted.      (1)   Difference between Debit and Credit Columns              (2)   Column with the Larger Total Credit       (3) Identify account(s) incorrectly stated Store supplies       (4) Amount that account(s) is overstated or understated. (You may select more than one answer. Click the box with a check mark for correct answers and click to empty the box for the wrong answers.) Store supplies is understated by $790 Store supplies is overstated by $790 Cash is overstated by $790 Cash is understated by $790 None