Question

A book-keeper of a trading concern having failed to agree to the trial balance opened a suspense account and entered the difference in the trial balance.

The following errors were subsequently discovered.

(i) Goods sold to Manohar for Rs. 550 was posted as Rs. 5,500 in Manohar's account.

(ii) Purchases return book was carried forward as Rs. 1,220 instead of Rs. 1,120.

You are required to pass the journal entries for rectification of the above errors.

Answer 1

Rectification Entries in Journal

$\begin{array}{ccccc}\text{Date}& \text{Particulars}& \text{LF}& \text{Amt(Dr)}& \text{Amt(Cr)}\\ \text{(i)}& \text{Suspense A/c}\text{Dr}& & \text{4,950}& \\ & \text{To Manohar}& & & \text{4,950}\\ & \text{(The sales of goods wrongly over}& & & \\ & \underset{–}{\text{debited to customer, now rectified)}}& & & \\ \text{(ii)}& \text{Purchases Return A/c}\text{Dr}& & \text{100}& \\ & \text{To Suspense A/c}& & & \text{100}\\ & \text{(The error in carrying forward of total}& & & \\ & \text{of purchases return book, now rectified)}& & & \end{array}$