Verification of Accounting Records
Correction of Errors
One of the most frequently examined topics — questions test your ability to identify types of errors, correct them using journal entries with narratives, and update the suspense account. Expect this in almost every paper.
Always name the type of error and always write a narrative for each journal entry — both carry marks. For suspense account questions, make sure your corrections balance the account to zero. Common mistake: correcting the wrong side of an entry.
Key Concepts to Revise
Errors Not Affecting the TB
Omission, commission, principle, original entry, reversal of entries, compensating errors — trial balance still balances.
Errors Affecting the TB
Single-sided entry, wrong amount on one side — trial balance fails to balance. A suspense account is opened.
Suspense Account
Temporary account used when TB doesn’t balance. Each correction entry must clear it back to zero.
Journal Corrections
Every correction is recorded in the journal with a narrative. Dr and Cr must equal. Narratives always carry marks.
Past Paper Questions
12 papersRelated Resources
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