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Trial Balance of a bookkeeper shows an excess of debits over credits by ₹ 261. This difference is placed in a Suspense Account to facilitate books closure. Later on the following errors were discovered:(i) A credit item of ₹ 349 has been debited to a Personal Account as ₹ 439.(ii) A sum of ₹ 625 written off from fixtures as depreciation has not been posted to the Depreciation Account.(iii) ₹ 9,000 paid for furniture bought have been charged to the Purchases Account.(iv) A discount allowed to a customer has been credited to him as ₹ 145 in place of ₹ 154.(v) A sale of ₹ 594 was posted as ₹ 495 in the Sales Account.(vi) The total of Returns Inward Book has been added ₹ 10 short.Pass the Journal entries to correct these errors and prepare the Suspense Account. |
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Answer» Trial Balance of a bookkeeper shows an excess of debits over credits by ₹ 261. This difference is placed in a Suspense Account to facilitate books closure. Later on the following errors were discovered: (i) A credit item of ₹ 349 has been debited to a Personal Account as ₹ 439. (ii) A sum of ₹ 625 written off from fixtures as depreciation has not been posted to the Depreciation Account. (iii) ₹ 9,000 paid for furniture bought have been charged to the Purchases Account. (iv) A discount allowed to a customer has been credited to him as ₹ 145 in place of ₹ 154. (v) A sale of ₹ 594 was posted as ₹ 495 in the Sales Account. (vi) The total of Returns Inward Book has been added ₹ 10 short. Pass the Journal entries to correct these errors and prepare the Suspense Account. |
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