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If a purchase return of Rs.1,000 has been wrongly posted to the debit of the sales returns account, but has been correctly entered in the suppliers’ account, the total of the
  • a)
    Trial balance would show the debit side to be Rs. 1,000 more than the credit
  • b)
    Trial balance would show the credit side to be Rs. 1,000 more than the debit
  • c)
    The debit side of the trial balance will be Rs. 2,000 more than the credit side
  • d)
    The credit side of the trial balance will be Rs. 2,000 more than the debit side
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
If a purchase return of Rs.1,000 has been wrongly posted to the debit ...
Explanation:

When a purchase return of Rs. 1,000 has been wrongly posted to the debit of the sales returns account but has been correctly entered in the suppliers account, it means that:

- The sales returns account has been debited by Rs. 1,000 more than it should have been.
- The suppliers account has been credited by Rs. 1,000, which is correct.

This error affects the trial balance because the trial balance is a statement that shows the total of all debit and credit balances in the ledger accounts. The trial balance must always balance, i.e., the total of the debit balances must be equal to the total of the credit balances.

In this case, the error affects the trial balance as follows:

- The sales returns account is a nominal account, and its normal balance is a credit balance. However, due to the error, it has been debited by Rs. 1,000. Therefore, the debit side of the trial balance will be Rs. 1,000 more than it should be.
- The suppliers account is a personal account, and its normal balance is a debit balance. It has been correctly credited by Rs. 1,000. Therefore, the credit side of the trial balance will be Rs. 1,000 less than it should be.

Therefore, the trial balance will show a debit balance of Rs. 1,000 more than the credit balance, i.e., the debit side of the trial balance will be Rs. 2,000 more than the credit side.

Conclusion:

Hence, the correct answer is option 'C': The debit side of the trial balance will be Rs. 2,000 more than the credit side.
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Community Answer
If a purchase return of Rs.1,000 has been wrongly posted to the debit ...
here the credit balance is wrongly entered in debit side which results in short of 1000 in credit side and surplus of 1000 in debit side hence debit side will be 2000 more than credit side
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If a purchase return of Rs.1,000 has been wrongly posted to the debit of the sales returns account, but has been correctly entered in the suppliers’ account, the total of thea)Trial balance would show the debit side to be Rs. 1,000 more than the creditb)Trial balance would show the credit side to be Rs. 1,000 more than the debitc)The debit side of the trial balance will be Rs. 2,000 more than the credit sided)The credit side of the trial balance will be Rs. 2,000 more than the debit sideCorrect answer is option 'C'. Can you explain this answer?
Question Description
If a purchase return of Rs.1,000 has been wrongly posted to the debit of the sales returns account, but has been correctly entered in the suppliers’ account, the total of thea)Trial balance would show the debit side to be Rs. 1,000 more than the creditb)Trial balance would show the credit side to be Rs. 1,000 more than the debitc)The debit side of the trial balance will be Rs. 2,000 more than the credit sided)The credit side of the trial balance will be Rs. 2,000 more than the debit sideCorrect answer is option 'C'. Can you explain this answer? 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 If a purchase return of Rs.1,000 has been wrongly posted to the debit of the sales returns account, but has been correctly entered in the suppliers’ account, the total of thea)Trial balance would show the debit side to be Rs. 1,000 more than the creditb)Trial balance would show the credit side to be Rs. 1,000 more than the debitc)The debit side of the trial balance will be Rs. 2,000 more than the credit sided)The credit side of the trial balance will be Rs. 2,000 more than the debit sideCorrect answer is option 'C'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for If a purchase return of Rs.1,000 has been wrongly posted to the debit of the sales returns account, but has been correctly entered in the suppliers’ account, the total of thea)Trial balance would show the debit side to be Rs. 1,000 more than the creditb)Trial balance would show the credit side to be Rs. 1,000 more than the debitc)The debit side of the trial balance will be Rs. 2,000 more than the credit sided)The credit side of the trial balance will be Rs. 2,000 more than the debit sideCorrect answer is option 'C'. Can you explain this answer?.
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