Sam's grocery store had the following at the end of 20X5:
Cash $22,000
Accounts receivable 49,000
Accounts payable 17,000
Fees earned 61,000
Rent expense 12,000
Insurance expense 3,600
Salary expense 18,000
Supplies 15,000
Sam, capital 49,600
Sam, withdrawals 8,000
If all of the accounts have normal balances, what are the totals for the trial balance?
$127,600.
$ 86,000.
$119,600.
$255,500.
$186,600.
To find the totals for the trial balance, you need to add up all the accounts with their respective debit and credit balances.
First, let's identify the accounts and their balances:
Assets:
- Cash: $22,000 (debit)
- Accounts receivable: $49,000 (debit)
- Supplies: $15,000 (debit)
Liabilities:
- Accounts payable: $17,000 (credit)
Owners' Equity:
- Sam, capital: $49,600 (credit)
- Sam, withdrawals: $8,000 (debit)
Revenue:
- Fees earned: $61,000 (credit)
Expenses:
- Rent expense: $12,000 (debit)
- Insurance expense: $3,600 (debit)
- Salary expense: $18,000 (debit)
Now, let's calculate the total debits and credits:
Total debits = Cash + Accounts receivable + Supplies + Rent expense + Insurance expense + Salary expense + Sam, withdrawals
= $22,000 + $49,000 + $15,000 + $12,000 + $3,600 + $18,000 + $8,000
= $127,600
Total credits = Accounts payable + Sam, capital + Fees earned
= $17,000 + $49,600 + $61,000
= $127,600
Since the total debits equal the total credits, the trial balance is balanced.
Therefore, the answer is $127,600.