If the Difference of Trial Balance is 860, rectify and prepare Suspense A/c: 5,000 sales proceeds of old machinery had - Accountancy - Trial Balance and Rectification of Errors

Question

If the Difference of Trial Balance is 860, rectify and prepare
Suspense A/c:
5,000 sales proceeds of old machinery had been posted to Sales
A/c
50, the price of goods purchased from Neev, had been shown on the
credit side of his A/c as 500
30, discount allowed by Diya, had been shown in her A/c but not
posted to Discount A/c
A sum of 640 owed by Mr Rishabh had not been included in the list
of debtors
A/c of Shiv had been with 100 on account of goods returned by him

Jayati Jawa · Accepted Answer

Hi Karan

Your query seems to be incomplete First of all, the difference of
trial balance is because of excess balance of which side is not
given
Secondly, the last entry, the goods returned by shiv were debited
or credited in the books??

Anyway, for the rest of the entries, the rectification entries have
been passed and given below:

Journal

Date

Particulars
L F
Debit Amount
Rs
Credit Amount
Rs

Sales A/c
Dr

5,000

To Suspense A/c

5,000

(Sale proceeds from machinery were posted
to Sales Account)

Neev’s A/c
Dr

450

To Suspense A/c

450

(Rs 500 has been wrongly credited in
Neev’s account instead of Rs 50)

Suspense A/c
Dr

30

To Discount Received A/c

30

(Discount received not posted to Discount
account)

Debtors A/c
Dr

640

To Suspense A/c

640

(Amount due from Mr Rishabh were not
included in the list of debtors)

In case of any doubt, you can always get back to us

	Journal
Date		Particulars		L.F.	Debit Amount Rs	Credit Amount Rs
		Sales A/c	Dr.		5,000
		To Suspense A/c				5,000
		(Sale proceeds from machinery were posted to Sales Account)

		Neev’s A/c	Dr.		450
		To Suspense A/c				450
		(Rs 500 has been wrongly credited in Neev’s account instead of Rs 50)

		Suspense A/c	Dr.		30
		To Discount Received A/c				30
		(Discount received not posted to Discount account)

		Debtors A/c	Dr.		640
		To Suspense A/c				640
		(Amount due from Mr. Rishabh were not included in the list of debtors)