Question

Question 5(a). Journal entries to correct the following errors: Drawings account was debited in error instead of Salaries and wages; also Furniture, Fixed assets suspense, Purchases suspense and Suspense/Customer accounts required correction as shown in the workings.

Accepted Answer

Journal entries (extract):
Dr Drawings                     1,000
   Cr Salaries and wages                 1,000
(Being correction of drawings wrongly charged to salaries and wages)

Dr Furniture                    1,560
Dr Fixed assets suspense          300
   Cr Suspense                          1,260
Dr Purchases                    2,000
   Cr Suspense                          2,000
Dr Suspense                       200
   Cr Customer                           200
(Being correction of errors located via the suspense account)

GCE Accounting 2024 Theory — Question 9

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