Question

The Trial Balance of S. Sen did not agree and the difference in books was carried to a Suspense Account. Pass the entries required to rectify the following errors which accounted for the difference. Also, prepare the Suspense Account:
(i) A Sales Invoice for ₹ 1,000 for goods sold on credit to B. Basu was entered in the Purchases Book but in the Ledger, the amount was correctly debited to the account of B. Basu.
(ii) Goods bought on credit from Ram Lal for ₹ 1,500 were wrongly debited to his account as ₹ 5,100
(iii) An amount of ₹ 275 was posted as ₹ 325 to the debit side of the Commission Account.
(iv) The Sales Book for the month of April was undercasted by ₹ 100.
(v) ₹ 460 paid for building repairs was debited to the Building Account as ₹ 640.

Answer 1

Books of S. Sen Journal
Date	Particulars		L.F.	Debit Amount Rs	Credit Amount Rs
(i)	Suspense A/c	Dr.		2,000
	To Sales A/c				1,000
	To Purchases A/c				1,000
	(Goods sold to B. Basu was entered in Purchases book and debited to his account, now rectified)
(ii)	Suspense A/c	Dr.		6,600
	To Ram Lal				6,600
	(Bought goods from Ram Lal Rs 1,500 was wrongly debited to his account as Rs 5,100, now rectified)
(iii)	Suspense A/c	Dr.		50
	To Commission A/c				50
	(Commission Rs 275 was wrongly debited a Rs 325, now rectified)
(iv)	Suspense A/c	Dr.		100
	To Sales A/c				100
	(Sale Book was undercast, now rectified)
(v)	Building Repair A/c	Dr.		460
	Suspense A/c	Dr.		180
	To Building A/c				640
	(Building Repair Rs 460 was debited to Building Account as 640, now rectified)

Suspense Account
Dr.	Cr.
Date	Particulars	Amount Rs	Date	Particulars	Amount Rs
(i)	Sales	1,000
	Purchases	1,000
(ii)	Ram Lal	6,600
(iii)	Commission	50
(iv)	Sales	100
(v)	Building	180		Balance c/d	8,930
		8,930			8,930