Consider the following information from a company's unadjusted trial balance at December December 31, 2015. All accounts have normal balances. Accounts receivable $5,500

Accounts payable 700

Cash 1,800

Service revenue 6,800

Common stock 5,000

Equipment 5,900

Insurance expense 450

Land 4,800

Notes payable, due 2018 5,000

Notes receivable matures 2016 1,300

Prepaid Insurance 450

Rent expense 1,450

Retained earnings, January 1, 2015, 7,950

Salaries and Wages expense 3,800

What is the total of the debit side of the unadjusted trial balance?

a. $20,450.

b. $16,950.

c. $25,450.

d. $19,750.

c. $25,450.

Explanation:

All the expenses and asset accounts have debit balances so, the total debit value of unadjusted trial balance can be calculated by adding all the expense and asset account balances.

$

Land 4,800

Equipment 5,900

Accounts receivable 5,500

Cash 1,800

Notes receivable matures 2016 1,300

Prepaid Insurance 450

Insurance expense 450

Rent expense 1,450

Salaries and Wages expense 3,800

Total Debit Balances 25,450

Following accounts are equity and liability accounts, these accounts are credit in nature.

Service revenue 6,800

Accounts payable 700

Common stock 5,000

Notes payable, due 2018 5,000

Retained earnings, January 1, 2015 7,950