Suspense account
A suspense account temporarily holds an unresolved difference or entry pending investigation and correction. When the cause of a difference is found, post the correcting journal entry to the proper ledger account and the suspense account as needed. A fully resolved suspense account should have no remaining balance. Keep evidence of the investigation and correction.
Worked example
If trial balance debits exceed credits by 100, a temporary credit of 100 balances it for investigation.
Common mistake
Correct the underlying error and clear the suspense balance; errors with equal debit and credit effects may not create a suspense difference.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | F1 | Direct | July 2027–August 2028 |
| ACCA | FA | Direct | September 2026–June 2027 |
| ACCA | K1 | Direct | July 2027–August 2028 |
| CIMA | BA3 | Direct | Official assessment-window verification pending |
| FIA | FFA | Direct | September 2026–June 2027 |
Related terms
Also called: Suspense