Question

State whether the following statement is True or False with reason:

All the errors can be rectified only through Suspense Account.

Options

• True

• False

Answer 1

This statement is False.

When the debit side total is not equal to the credit side total of balances of ledger accounts, one side errors are identified and its rectification is completed through suspense account. So, we can say that all the errors can’t be rectified only through suspense account.