Rectification for Error of Commission

Q.

Goods of Rs. 1, 000 purchased from Mr. “A” were recorded as sales in the books, the rectification of this error will?

1. Reduce the Gross Profit

2. Have no effect on the Gross Profit

3. Increase the Gross Profit

4. None of the above

Q.

Goods purchased from Ravi on credit for Rs 450 has been recorded as for Rs 540. To rectify the same, which account shall be debited by Rs 90 ?

1. Suspense Account

2. Ravi`s Account

3. Purchases Account

4. Sales account

Q.

Goods purchased from Sohan for Rs 300 has been recorded as Rs 3000. To rectify the same, which of the following is correct?

1. Sohan`s account shall be debited by Rs 2700

2. Purchase account shall be credited by Rs 2700

3. A & B both

4. None of the above

Q.

A loan of Rs. 1, 00, 000 was taken from a friend Ram, but instead it was recorded as Rs. 10, 000 in the books. To rectify this mistake which of the following is correct?

1. Ram`s loan account shall be debited by Rs. 90, 000

2. Ram`s loan account shall be credited by Rs. 90, 000

3. Bank account shall be debited by Rs. 90, 000

4. (b) and (c) above.

Q.

Cash sales to Ram amounting Rs 1000 was recorded as a sale of Rs 100 by mistake. Which of the following is correct with regards to rectification of this mistake?

1. Ram`s account shall be debited by Rs 900

2. Cash Account shall be debited by Rs 900

3. B & C Both

4. Sales account shall be credited by Rs 900

Q.

The Company incorrectly recorded a deposit of daily credit sales of Rs. 4, 500 as Rs. 5, 400. What is the appropriate entry, the company should follow regarding the error of Rs. 900?

1. Add Rs 900 to its cash account

2. Sales (Cr) & Debtors (Dr) by Rs 900 each

3. Sales (Dr) & Debtors (Cr) by Rs 900 each

4. None of the above

Q.

Record the following transactions in the sales return book.

Two water purifiers were sold to M/s Raman Traders for Rs 2, 100 each, out of which one purifier was returned back due to the manufacturing defect (Credit Note No. 10/2016).

Other transactions were

$\begin{array}{cc}\text{(i) M/s Gupta Traders returned the purifiers}& 1,500\\ \text{(ii) Purifiers returned from M/s Harish Traders}& 800\\ \text{(iii) M/s Rahul Traders returned the purifiers not as per specifications}& 1,200\\ \text{(iv) Purifiers returned from M/s Sushil Traders}& 1,000\end{array}$

Also prepare sales return account and M/s Raman Traders account.

Q.

Credit sales to Mohan Rs. 10, 000 were recorded as Rs. 12, 000. This shall be rectified by a corresponding ___ in Mohan`s account.

1. Debit of Rs 2000

2. Credit of Rs 2000

3. Credit of Rs 12000

4. Debit of Rs 10000

Q.

Sales to Amrish amounting to Rs 1430 has been posted to his account as Rs 1340. To rectify this error Amrish`s account shall be ___

1. Debited by Rs 90

2. Credited by Rs 10

3. Credited by Rs 90

4. Debited by Rs 10

Q.

Credit purchase from ABC Ltd was recorded as Rs 1200 instead of Rs 2100. Which account shall be debited to rectify this mistake?

1. ABC`s Account

2. Sales account

3. Suspense Account

4. Purchases Account

Q.

Hans Raj Traders paid Rs 25000 to Peepal Traders (a supplier of goods). This transaction is recorded for Rs 2500 instead of Rs 25000. Which of the following accounts shall be debited?

1. Peepal Trader`s account

2. Hans Raj Trader`s account

3. Cash Account

4. Purchases account

Q. Credit sales to Rahul of Rs.1, 000 were recorded as Rs.10, 000 in the sales book. To rectify the same, the sales account shall be by .

1. debited
2. credited
3. Rs.1, 000
4. Rs.10, 000
5. Rs.9, 000

Q.

Manish A/c is credited by Rs. 4500 while Manish A/c was to be debited by the same amount. Which of the following is correct?

1. Manish`s account shall be debited by Rs 4500

2. Manish`s account shall be debited by Rs 9000

3. Manish`s account shall be credited by Rs 4500

4. Manish`s account shall be credited by Rs 9000

Q.

Sales to Shakila of Rs. 2, 400 was posted to the debit of her account. How it shall be corrected?

1. Crediting her account by Rs. 2, 400

2. Crediting her account by Rs. 4, 800

3. Debiting her account by Rs. 4, 800

4. It is correct

Q.

[dummy - to be removed] An error involving excess debit in account is rectified by corresponding ___ By the amount that is in excess.

1. Debit

2. Credit

3. Suspense Account

4. None of the above

Q.

An error involving short debit in an account is rectified by corresponding ___ In the same account by the amount that is in short.

1. Credit

2. Both A & B

3. None of the above

4. Debit

Q.

Cash paid to Kareem has been posted as been paid Nadeen. The rectification would be done by ___ .

1. Debiting Kareem's account with corresponding credit to Nadeen`s account

2. Debiting Nadeen's account with corresponding credit to cash account

3. Debiting Kareem's account with corresponding credit to cash account

4. Crediting Nadeen's account with corresponding debit to cash account

Q. Sales to Benson Rs. 500 posted to his account as Rs. 504 would affect ___________.

1. Sales account
2. Cash account
3. Bensons account
4. Purchases account

Q.

Particulars	Debit Balance Rs	Credit Balance Rs
Cash A/c	3, 000
Sanjay A/c	2, 000
Vijay A/c		5, 000
Capital A/c		10, 000
Machinery A/c	8, 000
Outstanding Wages A/c		500
Bank A/c	2, 500
	15, 500	15, 500

2011 Apr.

1 2 6 8 10 15 20 21 30

Cash Sales Rs 4000. Cash Purchases Rs 1, 500. Sold goods on credit to Sanjay Rs 1, 800. Purchased goods on credit from Vijay Rs 700. Brought additional Capital in Cash Rs 8, 000. Paid Outstanding wages in full. Received cash from Sanjay Rs 3, 600. Paid cash Rs 5, 500 to Vijay in full settlement of his A/c. Paid cash into Bank in excess of Rs 1, 100.

Q.

An error involving short credit in an account is rectified by corresponding ___ In the same account by the amount that is in short.

1. Debit

2. Credit

3. Both A & B

4. None of the above

Q.

Arrange the following in correct order for the method of rectification?

1.Visualise the correct entry

2. Visualise the incorrect entry

3. Find rectifying entry by making adjustment of correct entry and incorrect entry

1. 3, 2, 1

2. 2, 3, 1

3. 2, 1, 3

4. 1, 2, 3

Q. In this section, there is a sentence with three underlined parts labelled (a), (b), (c). Read the sentence to find out whether there is any error in any underlined part and select your answer from the given options against the corresponding letter i.e., (a) or (b) or (c). If you find no error, your answer should be indicated as (d).

1. b
2. a
3. c
4. No ERROR

Q. A few errors committed in Antrut's books of account are given below. State which errors would affect the trial balance.
(1) Sales of Rs. 950 to Ram completely omitted from books of account.
(2) Purchases of Rs. 720 from Shyam entered in the purchases journal as Rs. 700.
(3) Purchases Journal is overcast by Rs. 1, 000.
(4) Sales returns journal is under cast by Rs. 200.
(5) Amount paid to Agarwal wrongly posted to the debit to Minas account.
(6) Bank overdraft shown under debit column in the Trial Balance
(7) Sales of Rs. 500 to Sadiqentered in sales journal as sales to Mushtaq.
(8) Wages paid for installation of machinery debited to wages account.
select the correct answer from the options given below -

1. (1), (3) and (7)
2. (3), (4) and (6)
3. (3), (4), (5) and (8)
4. (3), (4), (6) and (8)

Q. Which of the following account(s) will be affected while rectifying the following error?

1. Sales Account
2. Ram's Account
3. Both Sales and Ram's Account
4. Cash Account

Q. (a)The watch is a valuable present from my uncle (b)and it costed him (c)more than two thousand rupees. (d)No error

1. a
2. b
3. c
4. No error

Q. Rs. 2, 750 received from Sohan was credited to Mohan as Rs. 2, 750. If rectification is done before preparation of trial balance then which of the following rectification entry will be correct?

1. Sohan A/c Dr. 2, 750
   To Mohan A/c 2, 750
2. Mohan A/c Dr. 2, 750
   To Sohan A/c 2, 750
3. Suspense A/c Dr. 2, 750
   To Mohan A/c 2, 750
4. Mohan A/c Dr. 2, 750
   To Suspense A/c 2, 750

Q. A credit sale of Rs. 870 was wrongly posted as 780 to the customer's account in the sales ledger. If this error located after preparation of final account then which of the following rectification entry is correct?

1. Customer's A/c Dr. 90
   To Suspense A/c 90
2. Suspense A/c Dr. 90
   To Customer's A/c 90
3. Customer's A/c Dr. 90
   To Profit & Loss Adj. A/c 90
4. Profit dc Loss Adj. A/c Dr. 90
   To Customer's A/c 90