Question No 30 Chapter No 17 - T.S. Grewal 11 Class

Question No 30 Chapter No 17

30. There was an error in the Trial Balance of Ram Gopal on 31st March 2018 and the difference in books was carried to the Suspense Account. Ongoing through the books, you find that:
(i) 540 received from M. Mehta was posted to the debit side of his account. (ii) 100 being purchases return was posted to the debit of the Purchases Account.
(iii) discount of 300 received was posted to the debit of the Discount Account.
(iv) 374 paid for motor car repairs was debited to the Motor Car Account as 174.
(v) 400 paid to C. Das was debited to the account of G. Dass.
Pass the Journal entries to rectify the above errors and state what amount was carried to the Suspense Account

The solution of Question No 30 Chapter No 16:-

Date	Particulars		L.F.	Debit	Credit
i	Suspense A/c	Dr.		1,080
	To M. Mehta				1,080
	(Being Cash received from M. Mehta was wrongly posted to the debit of his account, now rectified
ii	Suspense A/c	Dr.		200
	To Purchases A/c				100
	To Purchases Return A/c				100
	(Being Purchases Return Rs 100 was wrongly debited to Purchases Account, now rectified)
iii	Suspense A/c	Dr.		600
	To Discount A/c				600
	(Being Discount Received Rs 300 was wrongly posted to the debit of Discount Account, now rectified)
iv	Motor Car Repair A/c	Dr.		374
	To Motor Car A/c				174
	To Suspense A/c				200
	(Being Paid Rs 374 for Motor Car Repair was wrongly debited to Motor Car Account as Rs 174, now rectified)
v	C. Das A/c	Dr		400
	To G. Das A/c				400
	(Being Amount paid to C. Das was wrongly debited to G. Das, now rectified)

Dr.	Suspense Account						Cr.
Date	Particulars	J.F.	Amount	Date	Particulars	J.F.	Amount
(i)	M. Mehta		1,080	(iv)	Motor Car Repair		200
(ii)	Purchases		100
	Purchases Return		100
(iii)	Discount		600
					By Balance C/d		1,680
			1,880				1,880

Error Rectification in accounting – Explanation with examples

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Also, Check out the solved question of previous Chapters: –

- Chapter No. 1 – Introduction to Accounting
- Chapter No. 2 – Basic Accounting Terms
- Chapter No. 3 – Theory Base of Accounting, Accounting Standards and International Financial Reporting Standards(IFRS)
- Chapter No. 4 – Bases of Accounting
- Chapter No. 5 – Accounting Equation
- Chapter No. 6 – Accounting Procedures – Rules of Debit and Credit
- Goods and Services Tax(GST)
- Chapter No. 7 – Origin of Transactions – Source Documents and Preparation of Vouchers
- Chapter No. 8 – Journal
- Chapter No. 9 – Ledger
- Chapter No. 10 – Special Purpose Books I – Cash Book
- Chapter No. 11 – Special Purpose Books II – Other Books
- Chapter No. 12 – Bank Reconciliation Statement
- Chapter No. 13 – Trial Balance
- Chapter No. 14 – Depreciation
- Chapter No. 15 – Provisions and Reserves
- Chapter No. 16 – Accounting for Bills of Exchange
- Chapter No. 17 – Rectification of Errors
- Chapter No. 18 – Financial Statements of Sole Proprietorship
- Chapter No. 19 – Adjustments in preparation of Financial Statements
- Chapter No. 20 – Accounts from incomplete Records – Single Entry System
- Chapter No. 21 – Computers in Accounting
- Chapter No. 22 – Accounting Software – Tally
- Chapter No. 5 – Accounting Equation
- Chapter No. 6 – Accounting Procedures – Rules of Debit and Credit
- Goods and Services Tax(GST)
- Chapter No. 8 – Journal
- Chapter No. 9 – Ledger
- Chapter No. 10 – Special Purpose Books I – Cash Book