Rusthe Company showed the following balances at the end of its first year: $$\begin{array} { l r }
\text { Cash } & \$ 14,000 \
\text { Prepaid insurance } & 1,400 \
\text { Accounts receivable } & 7,000 \
\text { Accounts payable } & 5,600 \
\text { Notes payable } & 8,400 \
\text { Share capital-ordinary } & 2,800 \
\text { Dividends } & 1,400 \
\text { Revenues } & 42,000 \
\text { Expenses } & 35,000
\end{array}$$ What did Rusthe Company show as total credits on its trial balance?

Question

Rusthe Company showed the following balances at the end of its first year: $$\begin{array} { l r } 
\text { Cash } & \$ 14,000 \
\text { Prepaid insurance } & 1,400 \
\text { Accounts receivable } & 7,000 \
\text { Accounts payable } & 5,600 \
\text { Notes payable } & 8,400 \
\text { Share capital-ordinary } & 2,800 \
\text { Dividends } & 1,400 \
\text { Revenues } & 42,000 \
\text { Expenses } & 35,000
\end{array}$$ What did Rusthe Company show as total credits on its trial balance?

Quizplus · Accepted Answer

Total credits include Accounts Payable ($5,600), Notes Payable ($8,400), Share Capital-Ordinary ($2,800), and Revenues ($42,000), which sum up to $58,800.

Rusthe Company Showed the Following Balances at the End of Its