Jelly's Grocery Store showed the following account balances at the end of 2015: If all of the accounts have normal balances,what are the totals for the trial balance?
A) $86,000.
B) $119,600.
C) $127,600.
D) $186,600.
E) $255,500.

Question

Jelly's Grocery Store showed the following account balances at the end of 2015:  If all of the accounts have normal balances,what are the totals for the trial balance?
A) $86,000. 
B) $119,600. 
C) $127,600. 
D) $186,600. 
E) $255,500.

Quizplus · Accepted Answer

To find the total for the trial balance, we need to add up all the account balances. Since all accounts have normal balances, we can simply add up the account balances without worrying about whether they are debits or credits.

$35,000 (Cash) +
$18,000 (Accounts Receivable) +
$12,000 (Inventory) +
$1,600 (Prepaid Insurance) +
$7,000 (Equipment) +
$7,000 (Accumulated Depreciation - Equipment) +
$50,000 (Notes Payable) +
$4,000 (Accounts Payable) +
$5,000 (Wages Payable) +
$30,000 (Common Stock) +
$10,000 (Retained Earnings) =
$127,600

Therefore, the correct option is C.

Jelly's Grocery Store Showed the Following Account Balances at the End