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Furniture which stood in the books of rs 500 was sold for 275 in part exvhabge of nee furniture costing rs 875 and the net invoice of ts 600 was passed through the purcjss book the rrctification of this error would be?
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Furniture which stood in the books of rs 500 was sold for 275 in part ...
Rectification of Error in Purchase Book Entry

Heading: Background Information

- Furniture worth Rs. 500 was sold for Rs. 275 in part exchange for new furniture costing Rs. 875.
- The net invoice amount was Rs. 600.
- The entry was made in the Purchase Book.

Heading: Identification of Error

- The error in the entry is the wrong amount of the net invoice.
- The net invoice amount should have been Rs. 600 - Rs. 275 (the amount received) = Rs. 325.

Heading: Rectification of Error

- The entry in the Purchase Book needs to be corrected.
- The correct entry would be:

Date | Particulars | L.F. | Rs. | Rs.
---- | ---------- | --- | -- | --
... | ... | ... | ... | ...
... | ... | ... | ... | ...
... | ... | ... | ... | ...
... | ... | ... | ... | ...
... | Net Invoice A/c Dr. | ... | 325 | ...
... | Furniture A/c Cr. | ... | 275 | ...
... | ... | ... | ... | ...

- The Net Invoice account needs to be debited with Rs. 325.
- The Furniture account needs to be credited with Rs. 275.
- The entry needs to be posted in the Ledger.

Heading: Importance of Rectification

- Rectification of errors is important to ensure that the financial statements reflect the correct financial position of the business.
- Failure to rectify errors can lead to incorrect financial statements and mismanagement of financial resources.
- Rectification of errors also helps in maintaining the accuracy and integrity of accounting records.
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Furniture which stood in the books of rs 500 was sold for 275 in part exvhabge of nee furniture costing rs 875 and the net invoice of ts 600 was passed through the purcjss book the rrctification of this error would be?
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Furniture which stood in the books of rs 500 was sold for 275 in part exvhabge of nee furniture costing rs 875 and the net invoice of ts 600 was passed through the purcjss book the rrctification of this error would be? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Furniture which stood in the books of rs 500 was sold for 275 in part exvhabge of nee furniture costing rs 875 and the net invoice of ts 600 was passed through the purcjss book the rrctification of this error would be? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Furniture which stood in the books of rs 500 was sold for 275 in part exvhabge of nee furniture costing rs 875 and the net invoice of ts 600 was passed through the purcjss book the rrctification of this error would be?.
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