Accounting 0452 · IGCSE · Correction of errors

Correction of errors — practice question

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?

  • ADebit purchases returns $560$; Credit sales returns $560$
  • BDebit purchases returns $560$; Credit suspense $560$
  • CDebit purchases returns $1120$; Credit sales returns $560$ and suspense $560$
  • DDebit suspense $1120$; Credit purchases returns $560$ and sales returns $560$

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