Accounting 9706 · AS & A Level · Reconciliation and verification

Reconciliation and verification — practice question

The total debits and credits in a business’s trial balance did not match. A suspense account was opened to record the difference. The following errors were later found: 1. The total from the sales journal of $16000 had been posted to the debit side of the purchases account. 2. $7000 had been entered correctly in the rent received account but was debited as $700 in the cash book. Once these errors were corrected, the suspense account was cleared and the trial balance totals matched. What amount was shown in the trial balance for the suspense account before the corrections were made?

  • A$9700 credit
  • B$22300 credit
  • C$25700 credit
  • D$38300 credit

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