Which account is temporarily opened to rectify the errors effecting the Trial Balance?

Capital Account

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Asset Account

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Suspense Account

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Liability Account

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Solution

The correct option is C
Suspense Account

Suspense account is used to correct the errors effecting the Trial Balance.

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Similar questions

Q. account is temporarily opened to rectify the errors affecting the trial balance.

Q. Rectify the following errors assuming:-
That no suspense account has been opened with difference in the trial balance.

State whether the following statements are True or False-

1) A trial balance can agree in spite of certain errors.
2) Errors committed due to lack of accounting knowledge are errors of omission.
3) Trial balance is prepared from the balance of ledger accounts.
4) Rectification entries are passed in cash book.
5) Single sided errors affect only one account.
6) Suspense account is automatically closed after rectification of all errors.
7) Errors affecting the agreement of trial balance are called on side errors.
8) There is no need to open a suspense account if the trial balance agrees.
9) All the errors can be rectified only through suspense account.
10) Compensating errors affect the agreement of trial balance.

Q. Suspense Account is used to rectify those errors which have been located ______________.

Q. There was a difference in the Trial Balance of M/s. Jain & Sons, prepared for the year ended 31st March, 2009. The accountant put the difference in Suspense Account.
The following errors were found:
(i) Purchases Return Book total ₹ 400 has not been posted to Ledger Account.
(ii) ₹ 5,100 spent on legal expense for the newly acquired Building was debited to the Building Account as ₹ 1,500.
(iii) A sale of ₹ 6,540 to Rajat has been credited to his account.
Rectify the errors and show the Suspense Account with Nil closing balance.

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Which account is temporarily opened to rectify the errors effecting the Trial Balance?

The correct option is C Suspense Account Suspense account is used to correct the errors effecting the Trial Balance.

The correct option is C
Suspense Account

Suspense account is used to correct the errors effecting the Trial Balance.