Accounting 0452 · IGCSE · Correction of errors

Correction of errors — practice question

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

  • AA purchases invoice for $\$2600$ had been recorded in the purchases journal as $\$2200$.
  • BA sales invoice for $\$2600$ had been recorded in the sales journal as $\$2200$.
  • CDiscount allowed of $\$400$ had been posted to the credit side of the discount allowed account.
  • DDiscount received of $\$400$ had been posted to the debit side of the discount received account.

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