The Trial Balance of a concern has agreed but the following mistakes were discovered after the preparation of final Accounts. (a) No adjustment entry was passed for an amount of $2,000 relating to outstanding rent. (b) Purchase book was overcast by $1,000. (c) $4,000 depreciation of Machinery has been omitted to be recorded in the book. (d) $600
The Trial Balance of a concern has agreed but the following mistakes were discovered after the preparation of final Accounts. (a) No adjustment entry was passed for an amount of $2,000 relating to outstanding rent. (b) Purchase book was overcast by $1,000. (c) $4,000 depreciation of Machinery has been omitted to be recorded in the book. (d) $600
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
The
(a) No
(b) Purchase book was overcast by $1,000.
(c) $4,000
(d) $600 paid for purchase of stationary has been debited to Purchase A/c.
(e) Sales books was overcast by $1,000.
(f) $5,000 received in respect of Book Debt had been credited to Sales A/c.
Show the effect of the above errors in
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education