Question

Broadway, Inc.âs trial balance was in balance at the end of the period and showed the following accounts: Account Balance Accounts Payable $ 27,600 Cash 45,000 Common Stock 21,800 Equipment 10,800 Land 42,600 Notes Payable 49,000 What is the balance of the credit column on Broadway's trial balance?

Answer 1

Answer:

$98,400

Explanation:

A trial balance shows the balances of all the accounts of an entity at the end of a period. It is basically grouped into debits and credit balances with the debits being the asset and expense while the credit balances are common stock, Income and liabilities. The trial balance of Broadway, Inc.âs is as shown below

Accounts Balances   Debit         Credit  

Cash                           45,000.00  

Equipment                   10,800.00  

Land                           42,600.00  

Accounts Payable                27,600.00  

Notes Payable                         49,000.00  

Common Stock                        21,800.00  

Therefore, total credits

= 27600 + 49000 + 21800

= $98,400