Carraige outward A/C dr. 350Carraige inward A/C dr. 350 To Bank A/C 700

Rectifying Entry for Wrong Posting of Carriage on Sale of Goods

When the amount of Rs. 350 paid for carriage on the sale of goods was credited to the carriage inward account instead of the carriage outward account, a rectifying entry needs to be made to correct the error. The following steps can be taken to make the rectifying entry:

Identify the Error

The first step is to identify the error made in the original accounting entry. In this case, the error was the wrong posting of the carriage on the sale of goods to the carriage inward account instead of the carriage outward account.

Determine the Correct Account

The second step is to determine the correct account that the amount should have been credited to. In this case, the correct account is the carriage outward account.

Prepare the Rectifying Entry

The third step is to prepare the rectifying entry to correct the error. To do this, the following journal entry can be made:

Carriage Outward Account Dr. 350
To Carriage Inward Account 350

Explanation: The above entry means that the carriage outward account is debited with Rs. 350 and the carriage inward account is credited with Rs. 350. This entry effectively reverses the original error by debiting the carriage outward account with the amount that should have been credited to it and crediting the carriage inward account with the amount that should have been debited from it.

Post the Rectifying Entry

The final step is to post the rectifying entry to the ledger accounts. This will ensure that the accounts reflect the correct balances and that the error has been corrected.

Conclusion

In summary, when an error is made in posting an accounting entry, a rectifying entry is needed to correct the error. In this case, the wrong posting of carriage on the sale of goods to the carriage inward account was corrected by debiting the carriage outward account and crediting the carriage inward account with the amount of Rs. 350.