Super 7 - Rectification of Errors Commerce Notes | EduRev

Crash Course of Accountancy - Class 11

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Commerce : Super 7 - Rectification of Errors Commerce Notes | EduRev

The document Super 7 - Rectification of Errors Commerce Notes | EduRev is a part of the Commerce Course Crash Course of Accountancy - Class 11.
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Q1. Pass the rectification entries and show the suspense account in the books of a partnership firm. From the following particulars:

(a) The total of sales return day book was over cost by ₨1000.

(b) Purchase of equipment from  Raj Mohan & Co. worth ₨2,000, in cash , was entered through the purchase day book and accordingly credited t the suppliers’ account.

(c) Discount ₨500 allowed by P. Sahoo, a creditor has not been entered in the books of account.

(d) ₨ 350 paid for carriage on sale of goods was credited to carriage inward account when posted from the cash book.

(e) Bills receivable worth ₨ 1,800 received from a debtor was entered in the bills payable book though correctly entered in the debtor’s account.

(f) A sum of ₨ 2,500 collected from Suraj Singh, a debtor, whose dues were already written off as bad debt, was posted to the credit side of Suraj Singh account.

(g) Goods worth ₨ 1,500 bought by the partner Mr. Besra for his personal use without any payment being made as yet, was wrongly entered in the purchased day book.


Q2. An accountant, while balancing his books found that there was a difference of ₨ 8,595 in the Trial balance. Being required to prepare the final accounts., he placed this difference to a newly opened suspense account which was carried forward to the next year, when the following errors were discovered:

(a) Goods bought from a merchant for ₨ 550 had been posted to the credit side of his account as ₨ 5,500.

(b) An item of ₨ 1,062 entered in the sales Return book had been posted to the debit of the customer who returned the goods.

(c) Sundry items of plant sold for ₨ 26,000 had been entered in the sales book, the total of which book has been posted to Sales Account.

(d) ₨ 6,000 owing by a customer has been omitted from the schedule of Sundry Debtors.

(e) ₨ 231 discount received from a creditor had been duly entered in his account but not posted to Discount Received Account.

(f) Credit sales to Manas ₨ 16,000 were recorded in the Purchases Book as ₨ 10,000 and posted to the debit of Manas as ₨ 1,000.

(g) Furniture purcahsed from Noor ₨ 6,000 was recorded through purchases book as ₨ 5,000 and posted to the debit of Noor ₨ 2,000.

Give Journal entries necessary to correct these errors.


Q3. An accountant, while balancing his books found that there was a difference of ₨ 270 in the trial balance. Being required to prepared the final accounts he placed the difference to a newly opened Suspense Account, which was carried forward to the next year when the following errors were discovered:

(a) Salary for the month of March was posted twice, ₨ 155.

(b) Interest on Investments collected by the bankers, were posted directly in concerned accounts through the pass book, but no entry was made in the Bank column of the cash book ₨ 75.

(c) Goods worth ₨ 700 were distributed as free samples but this face has not been taken into Books.

(d) Rent of ₨ 350 received from Ashok credited both the Tent account and Ashok account.

(e) A purchase of a chair from Karnal furniture Mart for ₨ 65 has been entered in purchases book as ₨ 56.

(f) Old Machinery sold to the proprietor Keshav for ₨ 400 was entered in sales book as sale to Kishore.

(g) Cash purchases from Ajay ₨ 189 were recorded in cash Book as well as in Purchases Book and posted from both.

(h) Closing Stock has been undervalued by ₨ 300.

Give necessary rectifying entries and prepare the Suspense Account.


Q4. Rajesh Kumar was unable to reconcile his Trial Balance as on 31st March 2014 and ahs opened suspense account from the difference. Later on the following errors were discovered:

(1) There were three compensating errors:

(a) The total of sales return book was overcast by ₨ 100.

(b) The total of one page of the purchase book was carried forward as ₨ 1,286 instead of ₨ 1,826.

(c) Goods purchased from C for ₨ 400 was debited to his account as  ₨ 40

(2) ₨ 425 paid for wages to work men for making office table were debited to wages account.

(3) Rent paid ₨ 1,500 were posted to the credit of rent account as ₨ 150.

(4) Cash received from Ghanshyam ₨ 500 were correctly recorded in Cash book but were posted to his account as ₨ 50.

(5) ₨ 720 total of purchase return Book ₨ 2,500 was left unspotted.

(6) The total of purchase return Book ₨ 2,500 was left unspotted.

Pass rectifying entries.


Q5. In taking out a Trial Balance, an Accountant finds an excess debit of ₨ 1,098. Being desirous of closing his books, he places the difference to suspense A/C. Later on he detects the following errors:

1. Goods purcahsed from Surinder for ₨ 350 has been credited to his account as ₨ 530.

2. Goods sold to Dinesh for ₨ 800 have been debited to his account as ₨ 880. 3. A cheque of ₨1, 250 received from a debtor has been correctly entered in the cash book but posted to his personal A/c as ₨ 1,200.

4. ₨ 780, paid for freight on machinery purchased was debited to Freight Account as ₨ 708.

5. Goods to the value of ₨ 130 returned by a customer Navin Kumar has been posted to the debit of his account.

6. ₨ 1,440 paid for repairs to Motor Car were debited to Motor Car A/c as ₨ 1,400.

7. ₨ 500 being purchased return entries were posted to the debit of Purchase A/c.


Q6. Pass Journal entries to rectify the following errors:

(1) Material from store ₨ 5,000 and wages ₨ 2,000 had been used in making Tools and Implements for use in won factory, but no adjustments were made in the books.

(2) Wages paid for the construction of office, debited to wages account ₨ 13,000.

(3) Wages paid ₨ 3,720 were recorded in the cash books as ₨ 3,270.

(4) A Cheque for ₨ 500 received from Ashok was dishonored and has been posted to the debit of Sales Return Account.

(5) ₨ 10,000 paid to Gopal furniture store for the purchased of furniture as per their Cash Memo were debited to ‘Furniture’ A/c.

(6) There were three Compensatory errors:

(a) Purchased Return Book was overcast by ₨ 100.

(b) Discount allowed to Mahesh ₨ 80 has not been posted to Discount allowed Account.

(c) The total of one page of the Sales Book was carried forward to the next page as ₨ 680 instead of ₨ 860.


Q7. A ledger keeper could not agree the Trial balance. He transferred an amount of ₨ 1,859 being excess of the debit side to the Suspense account. The following errors were subsequently discovered:

(a) Amount payable to Gobind Ram for repairs done to radio ₨ 1,500 and radio supplied for ₨ 9,500 were entered in the purchase Books as ₨ 10,000

(b) An item of ₨ 5,000 relating to prepaid Insurance Account was omitted to be brought forward from the previous year’s books.

(c) A discount t of ₨ 581 allowed to a customer has been credited to him as ₨ 562.

(d) An amount of ₨ 5,000 due from Rakesh which had been written off as Bad debts in the previous year was bow recovered and had been posted to the Personal Account of Rakesh.

(e) Goods purchased for ₨ 1,250 have been posted to the debit of the Supplier, Vinod & Co.

(f) Furniture amounting to ₨ 6,500 purchased on credit from Quality Furniture Co. An entry for ₨ 5,600 was passed in the Purchased Book.

(g) Rest of difference was due to a wrong total in sales A/c in the ledger.

Pass Rectifying Journal entries and prepare Suspense A/c.

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