All Courses
Explore Courses UPSC Exam UPSC Test Series Free Notes EduRev Infinity Get the App Login Join for Free
Sign in Open App
Commerce Exam  >  Commerce Questions  >  Purchased goods from naveen worth Rs 6,000 w... Start Learning for Free
Purchased goods from naveen worth Rs 6,000 was recorded as 600?
Clear all your Commerce doubts with EduRev
Most Upvoted Answer
Purchased goods from naveen worth Rs 6,000 was recorded as 600?


Incorrect Recording of Purchase Transaction

When goods worth Rs 6,000 were purchased from Naveen but recorded as 600, it indicates an error in the recording of the transaction. This error can have significant implications on the accuracy of the financial records.

Possible Reasons for the Error

  • Typographical Error: The person recording the transaction may have mistakenly omitted a zero, leading to the incorrect figure of 600 instead of 6,000.
  • Human Error: It is possible that the individual responsible for recording the transaction made a mistake while entering the amount.
  • Lack of Attention to Detail: In some cases, lack of attention to detail can result in errors when recording transactions.


Impact of Incorrect Recording

Recording the purchase of goods at a lower value than the actual amount paid can distort the financial statements. It can lead to incorrect calculation of expenses, profits, and overall financial health of the business.

Correcting the Error

It is important to rectify the error by adjusting the entry to reflect the correct amount of Rs 6,000. This can be done by making a correcting journal entry to account for the difference and ensure the financial records are accurate.
Explore Courses for Commerce exam

Similar Commerce Doubts

Read the following hypothetical Case Study and answer the given questions:Mr. Manoj Manohar Lal Started a new business with a cash of ₹60,000 by the name Manohar Lal and Sons on the 1st of March 2020. For the business, he had to purchase furniture on the 2nd of March worth ₹10,000. He decided to buy the goods for cash as well on that day for ₹25,000 and on credit from Jankidas and Sons for ₹50,000. On the 4th of March he was able to sell the goods at ₹60,000 out of which 75% was on credit to different people. On the 5th of March he bought further goods from Kamlesh worth ₹15,000 and on the same day he sold goods at ₹36,000 for cash. On the 8th of March he received 80% of the cash from his debtors and so he paid his creditor Jankidas and Sons ₹40,000. On the 10th of March he sold goods to Hari at ₹30,000 and paid ₹15,000 to Kamesh. Hari paid him ₹18,000 on the 14th of March. On 16th he purchased goods worth ₹14,000 from Sohan out of which he paid ₹8,000 in cash. On the 20th he paid the office rent of ₹1,000 and received commission of ₹750. On the 24th there was a lockdown announced, so he paid salary to his employee of ₹1,200 and told him not to come until things are better. Hari on the same day transferred to his bank account ₹12,000 and he withdrew ₹4,000 for personal use.The goods purchased from Kamlesh will be recorded in ____________ Account.

Top Courses for CommerceView all

Top Courses for Commerce

Purchased goods from naveen worth Rs 6,000 was recorded as 600?
Question Description
Purchased goods from naveen worth Rs 6,000 was recorded as 600? for Commerce 2025 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Purchased goods from naveen worth Rs 6,000 was recorded as 600? covers all topics & solutions for Commerce 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Purchased goods from naveen worth Rs 6,000 was recorded as 600?.
Solutions for Purchased goods from naveen worth Rs 6,000 was recorded as 600? in English & in Hindi are available as part of our courses for Commerce. Download more important topics, notes, lectures and mock test series for Commerce Exam by signing up for free.
Here you can find the meaning of Purchased goods from naveen worth Rs 6,000 was recorded as 600? defined & explained in the simplest way possible. Besides giving the explanation of Purchased goods from naveen worth Rs 6,000 was recorded as 600?, a detailed solution for Purchased goods from naveen worth Rs 6,000 was recorded as 600? has been provided alongside types of Purchased goods from naveen worth Rs 6,000 was recorded as 600? theory, EduRev gives you an ample number of questions to practice Purchased goods from naveen worth Rs 6,000 was recorded as 600? tests, examples and also practice Commerce tests.
Explore Courses for Commerce exam

Top Courses for Commerce

Explore Courses
SaveJoin the Discussion on the App for FREE
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev
Get App
© EduRev
Education Revolution
Signup to see your scores go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup