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Bond’s trial balance failed to agree, and a suspense account was opened for the difference. Bond does not maintain control accounts for sales and purchases. The following errors were found in Bond’s accounting records:
1. In recording the sale of a non-current asset, cash received of $33,000 was credited to the disposals account as $30,000.
2. An opening accrual of $340 had been omitted.
3. Cash of $8,900 paid for plant repairs was correctly accounted for in the cash book, but was credited to the plant cost account.
4. A cheque for $12,000 paid for the purchase of a machine was
debited to the machinery account as $21,000.Which of the errors will require an entry to the suspense account to
correct them?
A 1, 3 and 4 only
B All
C 1 and 4 only
D 2 and 3 onlyanswer is B
but I think answer should be “C” cause omitted error doesn’t affect in trail balanceB is indeed the correct answer.
For 2, if an opening balance was omitted then the closing balance on the account will be wrong and the trial balance will not balance.
For 3, the plant account should have been debited instead of credited which will mean that the trial balance will not balance.
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