Question

Trial balance of Kohli did not agree and showed an excess debit of ₹ 16,300. He put the difference to a suspense account and discovered the following errors:
(a) Cash received from ₹ 5,000 was posted to the debit of Kamal as ₹ 6,000.
(b) Salaries paid to an employee ₹ 2,000 were debited to his personal account as ₹ 1,200.
(c) Goods withdrawn by proprietor for personal use ₹ 1,000 were credited to sales account as ₹ 1,600.
(d) Depreciation provided on machinery ₹ 3,000 was posted to Machinery account as ₹ 300.
(e) Sale of old car for ₹ 10,000 was credited to sales account as ₹ 6,000.
Rectify the errors and prepare suspense account.

Answer 1

Journal
S.No.	Particulars	L.F.	Debit Amount ₹	Credit Amount ₹
(a)	Suspense A/c Dr.		11,000
	To Rajat			5,000
	To Kamal			6,000
	(Cash received from Rajat ₹ 5,000 wrongly posted in the debit of Rajat's Account as ₹ 6,000, now rectified)
(b)	Salaries A/c Dr.		2,000
	To Employee			1,200
	To Suspense A/c			800
	(Salaries paid to employee wrongly posted to Employee's Account as Rs 1,200, now rectified)
(c)	Sales A/c Dr.		1,600
	To Suspense A/c			600
	To Purchases A/c			1,000
	(Goods drawn by proprietor for personal use ₹ 1,000 wrongly credited to Sales Account as ₹ 1,600, now rectified)
(d)	Suspense A/c Dr.		2,700
	To Machinery A/c			2,700
	(Depreciation on machinery ₹ 3,000 wrongly credited to Machinery Account as ₹ 300, now rectified)
(e)	Sales A/c Dr.		6,000
	Suspense A/c Dr.		4,000
	To Car A/c			10,000
	(Sale of old car for ₹ 10,000 wrongly posted to Sales Account as Rs 6,000, now rectified)

 

Dr.	Suspense Account						Cr.
S.No.	Particulars	J.F.	Amount ₹	S.No.	Particulars	J.F.	Amount ₹
(a)	Rajat		5,000		Balance b/d		16,300
	Kamal		6,000	(b)	Salaries		800
(d)	Machinery		2,700	(c)	Sales		600
(e)	Car		4,000
			17,700				17,700