The bookkeeper of Wilson Electric Supply Inc recorded a 1505

The bookkeeper of Wilson Electric Supply, Inc. recorded a $1,505 check as $15,050 in payment of the current month\'s rent. Which of the following journal entries is needed to adjust for this error in the books of the company? O A. Cash O B. Cash OC. Booking Error O D. Rent Expense 13,545 Sales Revenue 13,545 13,545 3.545 1,505 15,050 Rent Expense Cash 15,050 Cash

Solution

Excess amount recorded as rent $13,545 ($15,050-$1,505)

Hence, the same amount should be increased in cash and rent expense should be decrease accordingly with same amount.

Hence, correct option is (B).