Chapter 17 – Rectification Of Errors – TS Grewal 2022
Preparation of Suspense Account
Question 45
Q45. Rectify the following errors found in the books of Bheem. Trial Balance had 930 excess credit. The difference has been posted to a Suspense Account:
(i) The total of Returns Inward Book has been cast 1,000 short.
(ii) The purchase of an office table costing 3,000 has been passed through the Purchases Book.
(iii) 3,750 paid for wages to workmen for making showcases had been charged to the Wages Account.
(iv) A purchase of 670 had been posted to the Creditors’ Account as 600.
(v) A cheque for 2,000 received from Nakul had been dishonoured and was passed to the debit of the Allowances Account.
(vi) An amount of 15,720 due from Prasad written off as had in a previous year, was recovered and credited to the Personal Account of Prasad.
After rectification reflect the transactions in the Suspense Account.
Solution
Rectify the following errors – Q45
