Correction of errors

1. Which of these describes the error: Transaction completely omitted

• error of commission

• error of omission

• error of principle

• error of original entry

Transaction entered in wrong account and wrong class

• error of commission

• error of omission

• error of principle

• error of original entry

Transaction entered in wrong account but same class

• a. error of commission

• b. error of omission

• c. error of principle

• d. error of original entry

Transaction entered in correct account but with incorrect figure

• a. error of commission

• b. error of omission

• c. error of principle

• d. error of original entry

Hiro wishes to increase his provision for doubtful debts at the end of the year. How does he record this increase?

• Debit entry credit entry

  bad debts provision for doubtful debts

• Debit entry credit entry

  provision for doubtful debts bad debts

• Debit entry credit entry

  income statement provision for doubtful debts

• Debit entry credit entry

  provision for doubtful debts income statement

Transaction entered in the opposite side of both the accounts

• a. error of commission

• b. error of original entry

• c. error of principle

• d. complete reversal of entry

State the type of error taking place in each of the scenarios (7-9) below:

The Coach is in business trading goods on credit and Shakib is one of the trade receivables. The following errors were discovered in the books of the Coach:

A cash payment of office expenses £600 by The Coach had been entered into the debit side of Shakib account.

• a. error of commission

• b. error of omission

• c. error of principle

• d. error of original entry

Sales of £450 worth of goods to Shakib had been entered in error into the account of Sameer.

• a. error of commission

• b. error of omission

• c. error of principle

• d. error of original entry

A further sale of goods to Shakib of £1750 had not been recorded in the books of The Coach.

• a. error of commission

• b. error of omission

• c. error of principle

• d. error of original entry

What are the journal entries to correct the following errors for 10 & 14 question:

A payment by Shakib of £2450 with £50 discount allowed had been correctly recorded in the cash book of The Coach but incorrectly recorded in Shakib’s account. The discount allowed was debited in Shakib’s account

• a. Suspense £900 DR, The Coach £900 CR

• b. office expense £600 DR, The Coach £600 CR

• c. Suspense £100 DR, Shakib £100 CR

• d. The Coach £100 DR, Suspense £100 CR