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CORRECTION OF ERRORS

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FA – FIA FFA › CORRECTION OF ERRORS

  • This topic has 1 reply, 2 voices, and was last updated 11 years ago by AvatarJohn Moffat.
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  • November 19, 2014 at 9:33 am #211212
    Avatarsaifudeen
    Member
    • Topics: 85
    • Replies: 84
    • ☆☆

    Hi john moffat !! Hope your fine.

    a purchase return of 48 has been wrongly posted to the debit of the sales returns account but has been corectly entered in the suppliers account .
    which of the following statemnt about the trial balance would be correcct ?

    sir in answer its given debit side 96 more than credit side but sir it should be only 48 ryt why they have taken double of that ?
    Thank you !

    November 19, 2014 at 6:04 pm #211344
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54839
    • ☆☆☆☆☆

    It should have been entered on the credit side of purchase returns.

    If it had been not entered at all then the debits would be 48 higher than the credits.
    Because it has been entered as a debit it then makes the debits 96 higher.

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