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Question

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?

Stationery acquired on credit terms for

R s 340

has been recorded in the purchases journal.

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A cash sale of Rs

3, 400

has been posted as Rs

4, 300

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A credit purchase of Rs

2, 150

has not been posted to the customer.

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A credit Note for Rs

900

from a supplier has not been entered in return outwards day book.

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Solution

The correct option is D A credit purchase of Rs $2, 150$ has not been posted to the customer.
A Credit purchase of RS-2,150 which has not been posted to the customer account will increase the credit balance thereby reducing the balance of suspense account of RS-11,200.

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Similar questions

Trial balance of Anuj did not agree. It showed an excess credit of Rs 6,000.

He put the difference to suspense account. He discovered the following erro Rs

(a)	Cash received from Ravish Rs 8,000 posted to his account as Rs 6,000.
(b)	Returns inwards book overcast by Rs 1,000.
(c)	Total of sales book Rs 10,000 was not posted to Sales account.
(d)	Credit purchases from Nanak Rs 7,000 were recorded in sales Book. However, Nanak’s account was correctly credited.
(e)	Machinery purchased for Rs 10,000 was posted to purchases account as Rs 5,000. Rectify the errors and prepare suspense account.

The trial balance of Anuj did not agree. It showed an excess credit of Rs. 6,000. He put the difference to a suspense account. He discovered the following errors.

(a) Cash received from Ravish Rs. 8,000 posted to his account as Rs. 6,000

(b) Return inwards book overcast by Rs. 1,000

(d) Credit purchase from Nanak Rs. 7,000 were recorded in the sales book. However, Nanak's account was correctly credited.

(e) Machinery purchased for Rs. 10,000 was posted to purchase account as Rs. 5,000

Rectify the errors and prepare a suspense account.

The trial balance of Raju showed an excess debit of Rs. 10000. He put the difference to the suspense account and discovered the following errors.

(a) Depreciation written off the furniture Rs. 6,000 was not posted to furniture account.

(b) Credit sales to Rupam Rs. 10,000 were recorded as Rs. 7,000.

(d) Cash sales to Rana Rs. 5,000 were not posted.

(e) Old machinery sold for Rs. 7,000 was credited to sales account.

(f) Discount received Rs. 800 from Kanan on playing cash to him was not posted.

Rectify the errors and prepare a suspense account.

Trial balance of Raju showed an excess debit of Rs 10,000. He put the difference to suspense account and discovered the following errors:

(a)	Depreciation written-off the furniture Rs 6,000 was not posted to Furniture account.
(b)	Credit sales to Rupam Rs 10,000 were recorded as Rs 7,000.
(c)	Purchases book undercast by Rs 2,000.
(d)	Cash sales to Rana Rs 5,000 were not posted.
(e)	Old Machinery sold for Rs 7,000 was credited to sales account.
(f)	Discount received Rs 800 from Kanan on playing cash to him was not posted. Rectify the errors and prepare suspense account.

Rectify the following errors assuming that a suspense account was opened. Ascertain the difference in trial balance.

(a) Credit sales to Mohan Rs. 7,000 were posted to the credit of his account.

(b) Credit purchase from Rohan Rs. 9,000 were posted to the debit of his account as Rs. 6,000.

(d) Goods returned from Mahesh Rs. 1,000 were posted to the debit of his account as Rs. 2,000.

(e) Cash sales Rs. 2,000 were posted to the debit of sales account as Rs. 5000.

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Credit side of the trial balance was Rs11,200 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?

The correct option is D A credit purchase of Rs2,150 has not been posted to the customer.A Credit purchase of RS-2,150 which has not been posted to the customer account will increase the credit balance thereby reducing the balance of suspense account of RS-11,200.

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?

The correct option is D A credit purchase of Rs $2, 150$ has not been posted to the customer.
A Credit purchase of RS-2,150 which has not been posted to the customer account will increase the credit balance thereby reducing the balance of suspense account of RS-11,200.