Which of the following statements regarding posting and classification is correc

Question

Which of the following statements regarding posting and classification is correct?

1- Posting journal entries involves copying the dollar amounts from the ledger into the journal.

2- If a $5,000 credit to a stockholders' equity account is misclassified as a $5,000 credit to a liability, the accounting equation will still balance.

3- If a purchase of supplies on account for $100 is recorded with a debit to Supplies of $10 and a credit to Accounts Payable for $10, the accounting equation will not balance.

4- If a $100 debit is erroneously posted to an account as a $100 credit, the accounts will be out of balance by $100.

Explanation / Answer

Statement that If a $100 debit is erroneously posted to an account as a $100 credit, the accounts will be out of balance by $100 is correct. Thus answer will be 4.

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