Question

Rectify the following errors by means of Journal entries:
(i) A cheque of ₹ 5,000 received from Ashish was dishonoured and was debited to Discount Account.
(ii) Purchases of ₹ 540 from Ramneek was written in Sales Book but was correctly posted to correct side to Ramneek's Account.
(iii) Salary paid to Miss Yugakshi ₹ 1,000 was debited to her Personal Account as ₹ 900.
(iv) Furniture costing ₹ 500, purchased from Jyoti, was wrongly entered in Purchases Book as ₹ 450.

Answer 1

Journal
Date	Particulars		L.F.	Debit Amount Rs	Credit Amount Rs
(i)	Ashish	Dr.		5,000
	To Discount A/c				5,000
	(Ashish’s cheque was debited to Discount Account, now rectified)
(ii)	Purchases A/c	Dr.		540
	Sales A/c	Dr.		540
	To Suspense A/c				1,080
	(Bought goods from Ramneek was recorded in Sales Book and Credited to his account, now rectified)
(iii)	Salary A/c	Dr.		1,000
	To Yugakshi				900
	To Suspense A/c				100
	(Salary Rs 1,000 to Yugakshi was debited to her account as Rs 900,now rectified)
(iv)	Furniture A/c	Dr.		500
	To Purchase A/c				450
	To Suspense A/c				50
	(Purchase of Furniture Rs 500 was posted to Purchase Book Rs 450, now rectified)