Question

rectify errors using suspense account sum examples​

Answer 1

Rectify errors by using Suspense Account.

Rectified Entries :-

1 ) Sales a/c Dr 12500

To Suspence a/c 12500

( Goods sold to Raja Rs. 12500 were not posted to his account )

2 ) Suspence a/c Dr. 5000

To Purchase a/c 5000

( Purchase book was overcast by Rs. 5000 )

3 ) Suspence a/c Dr. 665

To Sales a/c 665

( Sales book was under cast by 665 )

4 ) Suspence a/c Dr. 200

To Purchase return a/c 200

( Purchase return book was under cast by 200 )

5 ) Suspence a/c Dr. 5000

To Raja a/c. 5000

( Cash received from Raja Rs. 500 was posted to his account as 5500. )

6 ) Mohammed a/c Dr. 2125

To Suspence a/c 2125

( Cash paid to Mohammad Rs. 9625 was posted to his account as Rs. 2125 )

________________________________

Suspence Account :

When all the attempt failed to locate errors and the preparation of final a/c cannot be further delayed, the difference in the trial balance is temporarily transferred to an account called Suspence account.

If the debit's are shown, the difference is debited to Suspence a/c And if the credit's are shown, the difference is credited to Suspence a/c.