Rectify the following entries and prepare a suspenseaccount: 1 A credit item of 97 43 has been debited to - Accountancy - Trial Balance and Rectification of Errors

Question

Rectify the following entries and prepare a suspenseaccount:
1 A credit item of 97 43 has been debited to a personal account as
79 34
2 A sum of 95 written off as furniture as depreciation has not been
posted to the depreciation account
3 1500 paid for furniture purchased has been charged to ordinary
purchases account

Neha A. · Accepted Answer

Hi Karan, please find the complete solution below

Journal

Date
Particulars
L F
Debit
Amount
(Rs)
Credit
Amount
(Rs)

Suspense A/c
Dr

176 77

To Debtor A/c

79 34

To Creditor A/c

97 43

(Credit item of Rs 97 43 debited as Rs 79 34,
now rectified)

Depreciation A/c
Dr

95

To Suspense A/c

95

(Depreciation on furniture not posted to
Depreciation A/c, now rectified)

Furniture A/c
Dr

1,500

To Purchases A/c

1,500

(Purchase of furniture debited to Purchases
A/c, now rectified)

Suspense A/c
Dr

1 27

To Customer A/c

1 27

(Discount allowed of Rs 37 41 credited to
customer as Rs 36 14, now rectified)

Returns Inwards A/c
Dr

9

To Suspense A/c

9

(Returns Inwards book undercast by Rs 9, now
rectified)

Sales A/c
Dr

36

To Suspense A/c

36

(Sales book overcast by Rs 36, now
rectified)

Suspense Account

Dr

Cr

Date
Particulars
J F
Amount
(Rs)
Date
Particulars
J F
Amount
(Rs)

To Debtor A/c

79 34

Balance b/d

38 04

To Creditor A/c

97 43

Depreciation A/c

95

Customer A/c

1 27

Returns Inwards A/c

9

Sales A/c

36

178 04

Note: The balance of Rs 38 04 is assumed to the opening balance in
Suspense A/c

Suspense Account
Dr.								Cr.
Date	Particulars	J.F.	Amount (Rs)	Date	Particulars	J.F.	Amount (Rs)
	To Debtor A/c		79.34		Balance b/d		38.04
	To Creditor A/c		97.43		Depreciation A/c		95
	Customer A/c		1.27		Returns Inwards A/c		9
					Sales A/c		36
			178.04				178.04

Journal
Date	Particulars		L.F.	Debit Amount (Rs)	Credit Amount (Rs)
	Suspense A/c	Dr		176.77
	To Debtor A/c				79.34
	To Creditor A/c				97.43
	(Credit item of Rs 97.43 debited as Rs 79.34, now rectified)

	Depreciation A/c	Dr.		95
	To Suspense A/c				95
	(Depreciation on furniture not posted to Depreciation A/c, now rectified)

	Furniture A/c	Dr.		1,500
	To Purchases A/c				1,500
	(Purchase of furniture debited to Purchases A/c, now rectified)

	Suspense A/c	Dr.		1.27
	To Customer A/c				1.27
	(Discount allowed of Rs 37.41 credited to customer as Rs 36.14, now rectified)

	Returns Inwards A/c	Dr.		9
	To Suspense A/c				9
	(Returns Inwards book undercast by Rs 9, now rectified)

	Sales A/c	Dr.		36
	To Suspense A/c				36
	(Sales book overcast by Rs 36, now rectified)