Correction of errors

The totals in a trial balance matched, but it was discovered that the purchase of office equipment had been entered on the debit side of the office expenses account. What kind of error has been made?

Feb/March 2020

Arjun is a sole trader. Arjun drew up a trial balance on 31 January 2020. The debit and credit totals did not match, and the resulting difference was entered in a suspense account. Arjun then found the following errors: 1 The January total of the discount received column in the cash book, $135, had been credited to the commission receivable account. 2 $200 received from the sale of fittings (net book value $150) had been entered on the correct debit side but had been credited to the purchases and fittings account. 3 Cash drawings, $40, had been debited correctly but had been credited to the purchases account. 4 The $73 total in the cleaning analysis column of the petty cash book had been posted to both the cleaning account and the office expenses account. 5 The purchase of equipment, $575, had been credited to the equipment repairs account. The bank account had been credited correctly. 6 A cheque payment for office expenses, $90, had not been recorded at all. 7 A cheque for $69 sent to Simone had been posted to Simon’s account.

Feb/March 2020

Mona paid $32 000 for a new motor vehicle. That total included $100 for fuel and $250 for road tax. She debited the purchases account and credited the bank account with $32 000. Which journal entry would amend this error?

Feb/March 2023

Shazia’s trial balance did not balance, so the discrepancy was recorded in a suspense account. Shazia then found the following mistakes. 1. A cheque received, $280, had been posted to the bank account as a credit. 2. A cheque paid to Nunu, $50, had not been recorded in Nunu’s account. What was the suspense account balance before these mistakes were corrected?

Feb/March 2023

The following mistakes were discovered after the trial balance had been prepared. The sales account total had been overstated by $25. The wages account total had been overstated by $25. Which statement is correct about the trial balance that had been completed?

Feb/March 2023

The trial balance shown below does not balance. Which items were recorded on the incorrect side of the trial balance?

Feb/March 2023

Rai works as a trader and had completed his trial balance on 31 January 2023. The credit column total was $152 higher than the debit column total, so he entered the difference in a suspense account. Rai then found the following mistakes. 1 Wages, $200, had been entered in the cash book but left out of the wages account. 2 A credit purchase of $247 from Stella had been debited to Stella’s account and credited to the purchases account. 3 Both the rent payable account and the sales account had been overstated by $100. 4 A cheque for motor expenses, $75, had been posted twice to the motor expenses account. 5 A payment to Jasper of $196 had been recorded in Jasper’s account as $169.

Feb/March 2023

While preparing his draft financial statements, Vikram made two mistakes. As a result, his gross profit was overstated by $600 and his profit for the year was understated by $250. What two mistakes did he make?

Feb/March 2024

A trader added further capital of $4000$. In error, this was entered as a debit in the capital account and a credit in the bank account. What effect will correcting this error have on the statement of financial position?

Feb/March 2024

The trial balance totals did not match, so a suspense account was opened. It was then discovered that purchases returns, $560$, had been posted to the sales returns account on the debit side. Which journal entry was needed to rectify this error?

Feb/March 2024

Sunita has drawn up a trial balance at 31 December 2023 and a draft income statement for the year ended 31 December 2023. Sunita then found the following errors. 1 The total of the sales returns journal for November 2023, $3 524, had been entered on the credit side of the purchases account. 2 The purchases journal for July 2023 had been understated by $90. 3 The total of the sales journal for May 2023, $19 415, had not been transferred to the sales account. 4 A receipt from P. Mattel, $129, had been debited to the account for M. Patel. 5 Capital introduced by Sunita, $5 000, had been entered in the bank account on the debit side but no further entry had been made. 6 A rent payment of $500 had been posted to the rent expense account as $50. Sunita’s gross margin is 40%.

Feb/March 2024

Arnaud’s provisional profit for the year was $\$17\,000$. His actual correct profit was $\$17\,400$. What mistake had been made?

Feb/March 2025

Simon’s trial balance totals failed to balance, so he opened a suspense account. He later discovered that, when replenishing the imprest by $\$70$, he had entered it correctly in the petty cash book but on the wrong side of the main cash book. No other mistakes had been made. What was the first entry in the suspense account?

Feb/March 2025

Once Jonty had completed his financial statements, he found that two mistakes had been recorded in his accounting records. error 1: Vehicle repair costs of $1500$ had been entered on the debit side of the vehicles account. error 2: Legal fees of $2100$, which related to the purchase of new premises, had been treated as expenses. Ignoring depreciation, what effect did these errors have on Jonty’s profit for the year?

Feb/March 2025

Samira has been trading for several years and has a debit bank balance. She drew up her trial balance on 31 January 2025. The credit side total was greater than the debit side total. Samira recorded the difference in a suspense account. Samira later found the following errors: 1 A repair to equipment, $175$, had been debited to the equipment account. 2 A credit transfer, $132$, from David, a trade receivable, had been debited to David’s account and credited to the bank account. 3 A repayment of a bank loan, $2500$, had been debited to bank charges. 4 A bank payment for stationery, $21$, had been recorded as $12$. 5 Sales returns, $40$, had been recorded as purchases returns.

Feb/March 2025

Which error is classed as an error of original entry?

May/June 2021

A cheque for $85 from Shakeel was posted to Shamz’s account. Which journal entry would rectify this error?

May/June 2021

Nia disposed of equipment with a net book value of $200. The sale proceeds, $250, were entered as a credit in the sales account and as a debit in the cash book. What was the impact of this error on Nia’s gross profit and profit for the year?

May/June 2021

Which mistake is classed as an error of original entry?

May/June 2021

A cheque for $85, received from Shakeel, was entered on the credit side of Shamz’s account. Which journal entry would rectify this error?

May/June 2021

Nia disposed of equipment whose net book value was $200. The sale proceeds, $250, were entered as a credit in the sales account and as a debit in the cash book. What effect did this error have on Nia’s gross profit and profit for the year?

May/June 2021

Neith trades goods. Her financial year finishes on 31 March. Neith drew up the trial balance below, but it contains some mistakes. Neith Trial Balance as at 31 March 2021 Fixtures and equipment at cost Debit $300000 Provision for depreciation of fixtures and equipment Credit $120000 Inventory Credit $9100 Trade receivables Credit $16100 Provision for doubtful debts Debit $322 Petty cash Debit $100 Bank overdraft Debit $11400 Trade payables Credit $3200 Capital at 1 April 2020 Credit $160000 Sales Credit $107498 Purchases Debit $41520 Rent and rates Debit $16000 Office expenses Debit $9000 General expenses Debit $8150 Suspense Credit $210594 Totals Debit $506492 Credit $506492 Additional information 1 The inventory figure at 31 March 2021 was already included in the trial balance. On 1 April 2020, inventory was valued at $8800. 2 On 30 March 2021, a motor vehicle was sold at its book value, $2750. The disposal was entered correctly, but no entry was made in the purchaser's account. The purchaser was due to settle the amount on 30 April 2021.

May/June 2021

Kia is a trader. The trial balance totals compiled on 30 April 2021 failed to agree, so the difference was entered into a suspense account. Kia subsequently found the errors listed in the table in part (a).

May/June 2021

Kia is a trader. The totals on the trial balance drawn up on 30 April 2021 did not match, so the difference was entered in a suspense account. Kia later identified the errors listed in the table in part (a).

May/June 2021

Once Abdul’s draft financial statements had been prepared, two mistakes were found. The purchase of a machine by bank transfer, $5000, had been left out of the accounts. The purchase of a motor vehicle, $15000, had been recorded in the motor vehicle repair account. What effect will the correction of these mistakes have on the non-current assets and the working capital?

May/June 2022

Provide one example of a compensating error.

May/June 2022

Give one example of a compensating error.

May/June 2022

Following the preparation of Abdul’s draft financial statements, two mistakes were found. The purchase of a machine, paid for by bank transfer, $5000, had been left out of the accounts. The purchase of a motor vehicle, $15 000, had been recorded in the motor vehicle repair account. What impact will the correction of these errors have on the non-current assets and the working capital?

May/June 2022

Give one example of a compensating error.

May/June 2022

Following the completion of Abdul’s draft financial statements, two mistakes were identified. • The bank transfer used to buy a machine, $5000, had been left out of the accounts. • The motor vehicle purchase, $15 000, was posted to the motor vehicle repair account. What impact will the correction of these mistakes have on the non-current assets and the working capital?

May/June 2022

Jules is a hairdresser. On 30 April 2022, he acquired some new energy-saving hairdrying equipment for $1900 on credit from YZH Limited.

May/June 2022

Mosi trades goods. His trial balance totals at 30 April 2022 failed to match, so the difference was entered in a suspense account. Later, Mosi found these errors. 1 Commission received, $96$, had been posted to discount received account. The bank account entry was correct. 2 The total from the sales journal for April 2022, $1258$, was transferred into sales account as $2185$. 3 A cheque payment for motor expenses, $77$, had not been entered in the accounting records. 4 A payment by electronic transfer, $135$, was shown as a payment in the petty cash book. 5 An invoice received from Tracey, $160$, was entered in Stacey's account.

May/June 2022

Mosi trades as a trader. At 30 April 2022, the totals of his trial balance were not equal, so the difference was entered in a suspense account. Mosi subsequently found these errors: 1 Commission received, $96$, had been posted to the discount received account on the debit side. The bank account entry was posted correctly. 2 The April 2022 sales journal total of $1258$ was entered in the sales account as $2185$. 3 A cheque payment for motor expenses of $77$ was left out of the book-keeping records. 4 An electronic transfer payment of $135$ was written into the petty cash book instead. 5 A supplier invoice from Tracey for $160$ had been credited to Stacey’s account.

May/June 2022

Jack has set up a suspense account. He has discovered that rent paid of $\$250$ was entered correctly in the rent account, but was credited to the bank account as $\$520$. Which entries will rectify this error?

May/June 2023

Which error results in the gross profit being overstated?

May/June 2023

When the trial balance had been finished, it was discovered that a $\$4000$ amount for motor vehicle repairs had been posted to the motor vehicle account. What kind of error is this?

May/June 2023

Goods sold on credit to J Sharp were entered by mistake in the account of T Sharpe. What type of error has been made?

May/June 2023

Khalid posted items to a suspense account in order to rectify two errors discovered in his ledger accounts. After the errors were put right, the suspense account was cleared. error 1: $700 sales had been left out of the sales account. error 2: The purchases journal had been totalled $550 too high. Which entry was posted in the suspense account to make the trial balance balance?

May/June 2023

Sales made on credit to J Sharp were, by mistake, posted as a debit in the account of T Sharpe. Which type of error has been made?

May/June 2023

Khalid posted items to a suspense account to rectify two mistakes discovered in his ledger accounts. After those mistakes had been corrected, the suspense account was cleared. error 1 $700 sales had been left out of the sales account. error 2 The purchases journal had been overcast by $550. Which entry was posted in the suspense account to make the trial balance agree?

May/June 2023

Eshe is a trader who has drawn up a trial balance at 31 March 2023. The totals were not equal, so the difference was entered into a suspense account. Eshe subsequently found the errors shown in the table below.

May/June 2023

Amadi drew up the trial balance below, which is still untotalled and includes mistakes. Trial balance at 31 March 2023 Fittings and equipment at cost $30000 credit Provision for depreciation of fittings and equipment $7500 debit Trade receivables $6100 debit Bank overdraft $3106 debit Trade payables $3485 credit Capital $20000 credit Sales $73250 credit Purchases $41785 debit Discount received $1990 debit Returns inwards $3390 debit Carriage inwards $1223 debit General expenses $6430 debit Rent and rates $7380 debit Drawings $9500 debit Inventory at 1 April 2022 $3752 credit Inventory at 31 March 2023 $3965 debit

May/June 2023

Amadi drew up the trial balance below, which has not yet been totalled and still contains errors. Trial balance at 31 March 2023 Fittings and equipment at cost $30000 credit Provision for depreciation of fittings and equipment $7500 debit Trade receivables $6100 Bank overdraft $3106 Trade payables $3485 Capital $20000 Sales $73250 Purchases $41785 Discount received $1990 Returns inwards $3390 Carriage inwards $1223 General expenses $6430 Rent and rates $7380 Drawings $9500 Inventory at 1 April 2022 $3752 credit Inventory at 31 March 2023 $3965

May/June 2023

A $68 insurance payment has been recorded in the insurance account as $86. Which double entry will correct this?

May/June 2024

An accounts clerk made two mistakes that cancelled one another out. Which type of error was this?

May/June 2024

The totals in a trial balance failed to match, so $200$ was entered on the debit side of a suspense account. The book-keeper then examined the records and discovered the following two mistakes. 1. A sales invoice for $700$ had been entered in the sales journal as $770$. 2. The sales journal had been added up incorrectly. What mistake was made when the sales journal was totalled?

May/June 2024

A trader withdrew some goods from the business for personal use. He debited the purchases account by the cost price of the goods, $200$, and credited the sales account with the selling price, $300$. Which entries did he pass to correct the mistake?

May/June 2024

A book-keeper made two errors that offset one another. What type of error did he make?

May/June 2024

The totals of a trial balance did not match, so $200$ was entered on the debit side of a suspense account. The book-keeper then examined the records and discovered the following two errors. 1. A sales invoice for $700$ had been entered in the sales journal as $770$. 2. The sales journal had been totalled wrongly. What mistake was made in totalling the sales journal?

May/June 2024

A trader removed some goods from the business for personal use. He credited the purchases account with the cost price of the goods, $200$, and credited the sales account with the selling price, $300$. Which entries did he make to put right the error?

May/June 2024

Paul carries on business as a trader. He uses a three-column cash book and has drawn up draft financial statements for the year ended 31 March 2024. He later uncovered these five mistakes in the accounting records for the year ended 31 March 2024: 1 A purchase invoice, $140$, was debited to the office equipment account. 2 Cash discount received, $18$, was entered in the bank payments column of the cash book. 3 Carriage inwards, $82$, was credited to the carriage outwards account. 4 A payment for insurance, $375$, was debited to the bank account and credited to the insurance account. 5 The bank receipts column of the cash book for February 2024 had been undercast by $90$.

May/June 2024

Akil completed a trial balance on 29 February 2024. The debit column totalled $83 640, while the credit column totalled $84 025. He then found these errors: 1. The January 2024 sales journal total, $3416, had been entered in the sales returns account on the credit side. 2. An insurance direct debit of $115 had been credited to both the bank account and the insurance account. 3. Discount allowed, $47, was credited to discount received. 4. A payment for office equipment of $52 was debited to stationery. 5. The February purchases journal had been overcast by $90. Before the errors were corrected, Akil’s draft profit for the year was $17 420.

May/June 2024

Akil drew up his trial balance on 29 February 2024. The debit total was $83640, whereas the credit total was $84025. He then found the following errors: 1 The January 2024 sales journal total of $3416 had been entered on the credit side of the sales returns account. 2 A direct debit for insurance, $115, had been posted to both the bank account and the insurance account. 3 Discount allowed, $47, had been credited to discount received. 4 A payment for office equipment, $52, had been posted to stationery instead. 5 The purchases journal for February had been overcast by $90.

May/June 2024

Jerry was given a cheque for $450 by Fatima. He recorded the cheque being received accurately in his cash book. However, the entry made to Fatima’s account was posted in the wrong direction. Which journal entry would correct this mistake?

May/June 2025

The debit and credit totals of a trial balance failed to match, so a suspense account was set up. It was then discovered that the total in the discount allowed column of the cash book of $\$100$ had been posted to the discount allowed account. Which journal entry would rectify this error?

May/June 2025

When Yui worked out his profit for the year, the following mistakes came to light. 1. The purchase of a new motor vehicle for $\$3200$ was entered in motor expenses. 2. The purchases account was overstated by $\$500$. What effect did correcting these mistakes have on the profit for the year (ignore depreciation)?

May/June 2025

Miguel’s cash book showed a debit bank balance of $4220. He later found the following mistakes. 1 A cheque for $200, used to buy office equipment, had been entered wrongly in the office expenses account. 2 Bank charges of $30 had been entered in the cash book as $70. What effect did these mistakes have on his statement of financial position?

May/June 2025

While preparing draft financial statements, Michael set up a suspense account. He later found that purchases of $68 had been posted to the purchases account as $86. What entry was posted in the suspense account when this error was corrected?

May/June 2025

Sameer worked out that his profit for the year came to $6300. He then discovered two mistakes. 1 A cheque for $3250, received from a credit customer, had been entered only in the cash book. 2 The total in the discount allowed column of the cash book, $300, had been credited to the discount received account. What was Sameer’s corrected profit for the year?

May/June 2025

Jerry was paid a cheque for $450 by Fatima. He recorded the cheque receipt correctly in his cash book. However, the posting into Fatima’s account was made the wrong way round. Which journal entry will correct this error?

May/June 2025

The totals shown in a trial balance failed to agree, so a suspense account was opened. It was then discovered that the $100 total from the discount allowed column in the cash book had been credited to the discount allowed account. Which journal entry corrects this error?

May/June 2025

Once Yui had worked out his profit for the year, he found the following errors. 1. A purchase of a new motor vehicle costing $3200 had been debited to motor expenses. 2. The purchases account had been overcast by $500. What effect did correcting these errors have on the profit for the year? (Ignore depreciation)

May/June 2025

Nabil drew up a trial balance on 30 April 2025. The debit total was $95 428$, while the credit total was $95 156$. He put the resulting difference into a suspense account. Nabil then identified the errors shown in the table in part (a).

May/June 2025

Bilal drew up a trial balance dated 31 December 2024. He then found these mistakes: 1 Goods withdrawn for Bilal’s personal use, with a cost of $185, had been entered as cash drawings. 2 Motor expenses of $63, paid by bank transfer, had been shown as $36. 3 Bilal’s introduced capital of $2000 had been posted to a bank loan account. 4 A purchase invoice for $84 from Maya had been debited to Moira’s account and credited to the purchases account. 5 Bilal’s private insurance of $130 had been entered as business insurance.

May/June 2025

At 30 April 2025, Nabil drew up a trial balance. The debit total was $95 428, while the credit total came to $95 156. He entered the difference in a suspense account. He subsequently found the mistakes shown in the table in part (a).

May/June 2025

The account below was entered in Mary’s books. Which statement is correct?

Oct/Nov 2020

Ziningi drew up a trial balance. The debit column total was $\$225\,750$ while the credit column total was $\$225\,250$. What might account for the discrepancy?

Oct/Nov 2020

Rental income paid by a tenant was entered on the debit side of the rent receivable account and on the credit side of the cash book. What kind of error has occurred?

Oct/Nov 2020

A computer system bought from Ace Computers for $\$1430$ was wrongly entered as $\$1340$ and posted to the stationery account rather than the office equipment account. Which journal entry would correct this mistake?

Oct/Nov 2020

Motor vehicle expenses, $\$50$, were entered in error in the motor vehicles account. Which journal entry would correct this mistake?

Oct/Nov 2020

Kate worked out her provisional profit for the year as $28\,400$. She then found the following mistakes: 1. Rent prepaid by Kate had been recorded too low by $1000$. 2. Closing inventory had been recorded too low by $1500$. What is the correct profit for the year?

Oct/Nov 2020

A transaction was entered into the incorrect account within the same class. What type of error was this?

Oct/Nov 2020

Rent collected from a tenant was entered on the debit side of the rent receivable account and on the credit side of the cash book. What type of error has been made?

Oct/Nov 2020

A computer system bought from Ace Computers for $1430$ was mistakenly entered as $1340$ and posted to the stationery account rather than the office equipment account. Which journal entry is needed to correct this mistake?

Oct/Nov 2020

On 30 September 2020, the directors of DW Limited supplied the following figures. 6% debentures (2028) $18000 Bank overdraft $6450 Dividend paid $2000 General reserve at 1 October 2019 $6500 Inventory at 30 September 2020 $26300 Issued share capital at 1 October 2019 $200000 Non-current assets at 30 September 2020: Cost $462000, Provision for depreciation $106000 Other payables $2200 Other receivables $1600 Provision for doubtful debts at 1 October 2019 $625 Retained earnings $73475 Trade payables $8250 Trade receivables $14500 Extra information A draft income statement for the year ended 30 September 2020 had been drawn up and showed a profit of $84900. The following mistakes were then found. 1 Inventory of $26300 included items valued at cost $5200 that required repairs. After repairs costing $600, those items could be sold for $5000. 2 Operating expenses contained insurance of $400 that had been prepaid at 30 September 2020. 3 The provision for doubtful debts should have been revised so that it is equal to 5% of trade receivables. The directors chose to transfer $5000 to general reserve. Issued share capital did not change during the year ended 30 September 2020.

Oct/Nov 2020

Nazim runs a wholesale enterprise and has drafted the financial statements for the year ended 30 June 2020, which is his first year of trade. Once these financial statements had been prepared, some mistakes were found.

Oct/Nov 2020

Razia’s financial year finishes on 30 September. On 30 September 2020, the trial balance totals did not match. The debit total was $10 450$ and the credit total was $10 250$. A suspense account was therefore opened. The errors below were then found.

Oct/Nov 2020

Nazim runs a wholesale business and has drawn up draft financial statements for the year ended 30 June 2020, which was his first year of trading. Once these financial statements had been prepared, several mistakes were found. After the errors had been corrected, Nazim compared his results with those of his brother Aziz, whose business is similar.

Oct/Nov 2020

At each year-end, PT Limited transfers 20% of the profit for the year into the general reserve. Draft financial statements were drawn up for the year ending 30 September 2021. It was then found that inventory at 30 September 2021 had been overstated by $1500. What impact did correcting this error have on retained earnings and general reserve at 30 September 2021?

Oct/Nov 2021

After a statement of financial position was completed, the following mistakes were discovered. 1. A loan due for repayment in two years’ time had been shown as a current liability. 2. A provision for doubtful debts needed to be made. What effect will correcting these mistakes have?

Oct/Nov 2021

At each year-end, PT Limited moves 20% of the profit for the year into the general reserve. Draft financial statements were drawn up for the year ended 30 September 2021. It was then found that the inventory at 30 September 2021 had been overstated by $1500. What effect did correcting this error have on retained earnings and general reserve at 30 September 2021?

Oct/Nov 2021

The following mistakes were discovered after a statement of financial position had been drawn up. 1. A loan due for repayment in two years’ time had been shown as a current liability. 2. A provision for doubtful debts ought to have been made. What effect will correcting these mistakes have?

Oct/Nov 2021

Anil works as a trader. When he drew up the trial balance on 31 December 2020, the totals did not match. Debits were $5140 more than credits. The mistakes identified later were: 1 The sales account had been undercast by $7100. 2 Sales returns of $520 had been entered as a credit in the purchases account. The correct entry had already been made in the customer’s account. 3 Bank charges of $320 had been entered correctly in the cash book, but no entry had been made in the bank charges account. 4 A cheque refund of $600 for insurance overpaid had been posted to the wrong side of the bank account, and no entry had been made in the insurance account.

Oct/Nov 2021

Nikita is a trader. Her trial balance totals at 30 June 2021 failed to agree. Debits were higher than credits by $2600$, so Nikita opened a suspense account. The errors discovered afterwards were as follows. 1 Insurance of $2500$ was recorded as $4500$ in the insurance account. The correct amount had already been entered in the cash book. 2 The $500$ total in the discount received column of the cash book was posted to the discount allowed account in the general ledger. 3 Credit sales of $1400$ to Kajal were entered correctly in the sales account, but Kajal’s account was debited with $1000$. 4 A cheque for $700$ received from Anisah was entered correctly in the cash book, but it was credited to Aisha’s account.

Oct/Nov 2021

Anil is a trader. The totals on the trial balance he prepared on 31 December 2020 failed to agree. Debit totals were $5140 greater than credit totals. The following mistakes were later found. 1 The sales account had been undercast by $7100. 2 Sales returns of $520 had been posted as a credit to the purchases account. The correct entry had already been made in the customer’s account. 3 Bank charges of $320 had been entered correctly in the cash book, but had not been entered in the bank charges account. 4 A cheque refund of $600 for insurance overpaid had been recorded on the wrong side of the bank account and no entry had been made in the insurance account.

Oct/Nov 2021

Jacob acquired a motor vehicle for business purposes on credit from Waheed for $20000. It had not been entered in Jacob’s accounting records. Which journal entry would rectify this mistake in Jacob’s accounting records?

Oct/Nov 2022

Insurance paid by credit transfer was recorded in the accounting records as $86 instead of $68. Which double entry would rectify this error?

Oct/Nov 2022

Saddique’s trial balance did not balance. The debit column added up to $12250, while the credit column came to $12200. The following errors were found. No record had been entered for cash sales, $150. The balance on the discount received account, $50, had been left out of the trial balance. What were the totals of the trial balance after the errors had been corrected?

Oct/Nov 2022

A trader drew up a draft income statement that reported a profit for the year of $\$36\,000$. An examination of the records disclosed the following information.

Oct/Nov 2023

Jane intended to record a contra entry between a sales ledger account and a purchases ledger account. The credit side was recorded correctly, but the debit side was posted to the sales returns account by mistake. What effect did this error have?

Oct/Nov 2023

Sales returns were entered incorrectly as purchase returns in an income statement. What effect did this error have?

Oct/Nov 2023

Paula’s trial balance includes errors. What is the total of the corrected trial balance?

Oct/Nov 2023

A journal entry was entered to amend an error. Debit: Wasim $\$320$ Credit: bank $\$320$ Which error was corrected?

Oct/Nov 2023

A trial balance fails to balance, so a suspense account is opened. It is then discovered that a sale of $250 was posted to the sales account as $2500. Which entry will rectify this error?

Oct/Nov 2023

A cheque from D Pawson, who is a trade receivable, was entered correctly on the debit side of the bank account but was credited to the account of P Dawson, a trade payable. What effect did correcting this error have?

Oct/Nov 2023

Plant and machinery, $2000, had been entered on the credit side of the purchases account incorrectly. The draft profit for the year stood at $63 000. Do not take depreciation into account. What amount was the revised profit for the year once this error had been corrected?

Oct/Nov 2023

A cheque that had been received from Joe was credited to Joanna’s account. Which type of error was made?

Oct/Nov 2023

A trader’s journal contains the entry below. Both John and Jane are the trader’s credit customers. Which mistake is this journal entry putting right?

Oct/Nov 2023

A trader drew up a draft income statement that showed a profit for the year of $36\,000. A review of the books uncovered the following facts. 1. The owner’s drawings of $900 had been entered in the wages account on the debit side. 2. At the year end, the provision for doubtful debts was raised by $20. The income statement had been charged with the full provision amount of $260. 3. In the cash book, the total for the discount allowed column, $140, for one month had not been posted to the discount allowed account. What was the correct profit for the year?

Oct/Nov 2023

Jane wanted to record a contra entry between a sales ledger account and a purchases ledger account. The credit entry was posted correctly, but the debit entry was entered wrongly in the sales returns account. What effect did this error have?

Oct/Nov 2023