Accounting 0452 · IGCSE · Correction of errors

Correction of errors — practice question

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).
(a)[9]

Complete the table below to show the entries needed to correct each error. The first row has already been done as an example.

(b)[5]

Prepare the suspense account, showing the original trial balance difference as the balancing figure.

(c)[3]

Calculate the revised amount that Kia owed Abel at 30 April 2021.

(d)[3]

State three reasons why Kia did not treat this as a non-current asset.

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