Understanding the Error
When the freight paid on a machine is recorded incorrectly in the Freight Account, it results in a discrepancy in the financial records. The correct amount of ₹5,600 was recorded as ₹6,500, leading to an overstatement of expenses by ₹900.

Identifying the Rectification Entry
To correct this error, we need to make a journal entry to adjust the overstatement:
- **Debit the Freight Account** by ₹900.
- **Credit the Suspense Account** or the respective account if identified, by ₹900.

Journal Entry for Rectification
The journal entry will look as follows:

• Debit: Freight Account ₹900
• Credit: Suspense Account (or relevant account) ₹900

Steps to Rectify
1. **Identify the Error**: Confirm that the freight was paid ₹5,600 but recorded as ₹6,500.
2. **Prepare the Rectification Entry**: As mentioned, debit the Freight Account to reduce the incorrect amount and credit the Suspense Account to balance the entry.
3. **Post the Entry**: Update the accounts accordingly to reflect the correct figures.
4. **Review Financial Statements**: After the rectification, ensure that the financial statements accurately reflect the correct freight costs, confirming the impact on overall profitability.

Conclusion
This rectification ensures that the financial records present a true and fair view, which is crucial for accurate reporting and decision-making. Always monitor entries closely to avoid similar errors in the future.