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Pass Journal entries rectifying the following errors:(i) A cheque for ₹ 10,000 was received from Ranjan on which ₹ 200 Cash Discount was allowed. The cheque was not honoured on due date and the amount of discount was credited to Discount Received Account.(ii) ₹ 2,000 paid as wages for machinery installation was debited to Wages Account.(iii) ₹ 5,000 received from Rakesh were credited to his Personal Account. The amount had been written off as bad debts earlier.(iv) Repair bill of machinery was recorded as ₹ 100 against the bill amount of ₹ 1,000. |
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Answer» Pass Journal entries rectifying the following errors: (i) A cheque for ₹ 10,000 was received from Ranjan on which ₹ 200 Cash Discount was allowed. The cheque was not honoured on due date and the amount of discount was credited to Discount Received Account. (ii) ₹ 2,000 paid as wages for machinery installation was debited to Wages Account. (iii) ₹ 5,000 received from Rakesh were credited to his Personal Account. The amount had been written off as bad debts earlier. (iv) Repair bill of machinery was recorded as ₹ 100 against the bill amount of ₹ 1,000. |
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