The following trial balance of Wanda Landowska Company does not balance. Your review of the ledger reveals the following. a. Each account had a normal balance.
b. The debit footings in Prepaid Insurance, Accounts Payable, and Property Tax Expense were each understated $100.
c. A transposition error was made in Accounts Receivable and Service Revenue; the correct balances for Accounts Receivable and Service Revenue are $2,750 and $6,690, respectively.
d. A debit posting to Advertising Expense of $300 was omitted.
e. A $1,500 cash drawing by the owner was debited to Owner's Capital and credited to Cash.

Debit Credit
Cash 4,800
Accounts Receivable 2,570
Prepaid Insurance 700
Equipment 8,000
Accounts payable 4,500
Property Taxes Payable 560
Owner Capital 11,200
Service Revenue 6,960
Salaries and Wages Expense 4,200
Advertising Expense 1,100
Property Tax Expense 800
20,890 24,500

Required:
Prepare a corrected trial balance.

                                                                     Debit                               Credit

Cash                                                             $4,800

Accounts Receivable                                  $2,750

Prepaid Insurance                                          $800

Equipment                                                    $8,000

Account Payable(debit understated)                                                  $4,500

Property Taxes Payable                                                                          $560

Owner Capital(Overstated by $1,500)                                                 $12,700

Drawings                                                        $1,500

Service Revenue                                                                                    $6,690

Salaries and Wages Expense                        $4,200

Advertising Expense(omission)                     $1,400

Property Tax Expense(understa..)                   $900

Totals                                                             $24,350                           $24,350                                          

cognitive overload: having a lot on your mind impairs decision-making and tends to result in the simplest, but not necessarily best, option being selected.

empathy gaps: overlooking how you might feel in a different situation can result in unnecessary purchases, such as overbuying when shopping for food on an empty stomach.

optimism and overconfidence: wearing rose-tinted glasses and having unrealistic expectations about the future can affect money management and leave you unprepared for a change in circumstance.

instant gratification: seeking instant gratification drives impulsive spending and can undermine long-term planning and savings.

harmful habits: automatic or mindless behaviour can amplify a poor financial decision as it becomes a recurring event.

social norms: we are heavily influenced by the actions of others; while this can be in certain circumstances, it also contributes to the pressure to keep up with the joneses through conspicuous consumption.

answer; erp systems;