Furniture was revalued at Rs. 50,000 but it is shown as Rs. 37,000 in the balance sheet. So we debit account and credit account.

furniture

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revaluation

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Solution

The correct options are
A furniture
C revaluation
On revaluation of fixed assets, if there is an increase in the value of fixed assets, we debit the assets account and credit the revaluation account. Here, we will debit furniture account and credit revaluation account by Rs. 13,000.

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Similar questions

Rectify the following errors assuming that suspension account was opened.

Ascertain the difference in trial balance.

(a)	Furniture purchased for Rs 10,000 wrongly debited to purchase account as Rs 4,000.
(b)	Machinery purchased on credit from Raman for Rs 20,000 recorded through Purchases Book as Rs 6,000.
(c)	Repairs on machinery Rs 1,400 debited to Machinery account as Rs 2,400.
(d)	Repairs on overhauling of second hand machinery purchased Rs 2,000 was debited to Repairs account as Rs 200.
(e)	Sale of old machinery at book value Rs 3,000 was credited to sales account as Rs 5,000.

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

(a) Furniture purchased for Rs. 10,000 wrongly debited to purchase account as Rs. 4000

(b) Machinery purchased on credit from Raman for Rs. 20000 recorded through purchase book as Rs. 6000

(d) Repair on overhauling of secondhand machinery purchased Rs. 2000 was debited to repair account as Rs. 200

(e) Sale of old machinery at book value Rs. 3000 was credited to sales account as Rs. 5000

Rectify the following errors:

(a)	Furniture purchased for Rs 10,000 wrongly debited to purchases account.
(b)	Machinery purchased on credit from Raman for Rs 20,000 was recorded through purchases book.
(c)	Repairs on machinery Rs 1,400 debited to machinery account.
(d)	Repairs on overhauling of secondhand machinery purchased Rs 2,000 was debited to Repairs account.
(e)	Sale of old machinery at book value of Rs 3,000 was credited to sales 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.

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