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Does anyone know how to correct this balance sheet info?
Balance Sheet has office furniture listed at $8850.
Now to correct the balance sheet here are the given facts.
Given info: Office furniture includes $2,900 for a Persian rug for the office purchased on November 20. The total cost of the rug was $9,400. The business paid $2,900 in cash and issued a note payable to Zoltan Carpet for the balance due ($6,500). Also included in the amount for office furniture is a computer that cost $2,525 but is not on hand because Pippin donated it to a local charity.
What is the amount for Office Furniture?
Willing to give best answer.
Office furniture
Starting point $8,850
Add bal. of cost of carpet $6,500
Less cost of non-existent computer ($2,525)
Ending bal. $12,825
At the same time, you need to add $6,500 to note payable and charge $2,525 to Donations or Charitable Expenses.
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