After preparing the Trial Balance, the accountant finds that the total of the debit side of Trial Balance is short by Rs. 1,000. This difference will be _________.

credited to suspense account

No worries! We‘ve got your back. Try BYJU‘S free classes today!

debited to suspense account

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

adjusted to any of account having debit balance

No worries! We‘ve got your back. Try BYJU‘S free classes today!

adjusted to any of account having credit balance

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is B debited to suspense account
All errors have to be rectified before the finalization of books. If errors are not located, the trial balance will not agree. In such situation the difference amount has to be parked temporarily in a account which is named as suspense account.
If the total of the debit side of trial balance is short by Rs.1000, it will be debited to suspense account.

Suggest Corrections

Similar questions

Q. If Trial Balance shows excess credit, suspense account will show a debit balance.

Q. If the trial balance shows a short credit the suspense account will have a ________ balance.

Q. Credit side of the trial balance was Rs

11, 200

lower than the debit side. The difference was placed in suspense. The correction of which of the following errors will reduce the suspense account balance?

If the total of the debit column in the trial balance is more than the credit column, the difference is placed to the_____ of suspense account so that the trial balance may tally.

When total of debit column is higher than the credit column, The trial balance is temporarily balance by showing suspense account in _____ Column

Join BYJU'S Learning Program