Question

2 why does it not balance?
journal
ledger
trial balance

Explanation:

Step1: Calculate total debits

Sum up all debit - side amounts: \(2669+155 + 490+2000+97+56=\$5467\)

Step2: Calculate total credits

Sum up all credit - side amounts: \(72 + 5000+467=\$5539\)

Step3: Analyze the error

Notice that the credit amount of Revenue (\(155 + 312=\$467\)) is correct. The error is in the Bank account. In the journal, on February 28, the entry is "Bank 312, Revenue 312". But in the ledger, the Bank account has a debit of 312 (correct as per journal). However, in the trial - balance, the Bank account's debit is \(2669\) (sum of \(3000-490 + 312\)). The problem is that the "Expense - Accounts Payable" entry (Expense 72, Accounts Payable 72) is correct. The main error is that the "Accounts Payable" in the trial - balance is only shown as a credit of 72 (correct), but the real issue is that the "Revenue" of \(467\) is correct. The Bank account's total in the trial - balance is wrong. Wait, re - check:
The correct total of debits should be:
Bank: \(3000+312-490=2822\) (initial deposit of \(3000\), then revenue deposit of \(312\), and payment of \(490\) for supplies). But in the given ledger, Bank is calculated as \(3000+312-490 - 56-97\) (subtracting the amounts for expense (Bank 56) and drawings (Bank 97)). Wait, no.
In the journal:

• February 3: Bank (debit) \(3000\), Equipment (debit) \(2000\), Capital (credit) \(5000\)
• February 5: Supplies (debit) \(490\), Bank (credit) \(490\)
• February 9: Accounts Receivable (debit) \(155\), Revenue (credit) \(155\)
• February 15: Expense (debit) \(56\), Bank (credit) \(56\)
• February 25: Expense (debit) \(72\), Accounts Payable (credit) \(72\)
• February 28: Bank (debit) \(312\), Revenue (credit) \(312\)
• February 29: Drawings (debit) \(97\), Bank (credit) \(97\)

The correct Bank balance: \(3000+312-(490 + 56+97)=3000 + 312-643=2669\) (correct as per ledger).
The correct credit total: Capital (\(5000\))+Accounts Payable (\(72\))+Revenue (\(155 + 312=467\))=\(5000+72 + 467=5539\)
The correct debit total: Bank (\(2669\))+Accounts Receivable (\(155\))+Supplies (\(490\))+Equipment (\(2000\))+Drawings (\(97\))+Expense (\(56 + 72=128\))=\(2669+155+490+2000+97+128\)
\(2669+155=2824\); \(2824+490 = 3314\); \(3314+2000=5314\); \(5314+97=5411\); \(5411+128 = 5539\)

The error is that the Expense of \(72\) (from the "Expense - Accounts Payable" entry) is not included in the trial - balance's debit side.

Answer:

The trial - balance does not balance because the expense of \(72\) (from the "Expense - Accounts Payable" journal entry) is not included in the debit side of the trial - balance. The correct debit total is \(5539\) (Bank \(2669+\)Accounts Receivable \(155+\)Supplies \(490+\)Equipment \(2000+\)Drawings \(97+\)Expense \(56 + 72\)) and the credit total is \(5000+72+467 = 5539\)