Office furniture purchased entered in purchase book also does not affect total of trial balance. Purchase of 251 recorded as 215 is the amount wrongly entered in both the accounts. All are two sided error that does not affect the totals. Was this answer helpful?
So, total of purchase book short will cause the trial balance debit side to be short by 1000. Goods received from Mahesh not entered in the returns Inward book affects both debit and credit side because entry is not made in books.
Terms in this set (6) TRUE OR FALSE? A trial balance is prepared at the beginning of an accounting period, before transactions are entered into a journal and posted to the general ledger. False TRUE OR FALSE? When the columns of a trial balance equal each other, it means that no errors have occurred in the recording and posting transactions.
A trial balance is prepared at the beginning of an accounting period, before transactions are entered into a journal and posted to the general ledger. False TRUE OR FALSE? When the columns of a trial balance equal each other, it means that no errors have occurred in the recording and posting transactions.
Answer: c. The balance of an account was incorrectly computed.
Here we detail about the four types of errors in preparation of trial balance, i.e., (i) Errors of Omission, (ii) Errors of Commission, (iii) Errors of Principle, and (iv) Compensating Errors.
Examples of such errors are complex omission to record an entry in the books of original entry, wrong recording of transactions in the book of accounts; complete omission of posting to the wrong account on the correct side and errors of principle.
Solution(By Examveda Team) Error of partial omission will affect the Trial Balance. This error occurs when a transaction that should have been posted as a debit is posted as credit, for example, in a cash sale, sales are debited and cash is credited.
Solution: The errors which are committed because of wrong posting of transactions, wrong balancing of accounts, wrong casting of subsidiary books, wrong totaling or wrong recording of amount in the books are all error of commission. These errors affect the agreement of the trial balance. 1.
Errors that Don't Affect the Trial Balance An error of principle in accounting. An error of omission in accounting. An error of commission. A compensating error.