Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. a) what is meant by suspense account? b) trial bal

a) What is meant by suspense account? b) Trial balance extracted from the books of...

60.1K

Verified Solution

Question

Accounting

image

image

a) What is meant by suspense account? b) Trial balance extracted from the books of Bill Kamande had the following total; Debit side total Tsh 938,400 Credit side total Tsh 932,300 Kamande opened a suspense Account and placed the difference in the trial balance there to. He discovered the following errors and omissions: a) A credit note for shs 23,000 received from Shah wholesalers had not been recorded anywhere in the book b) A credit note for shs 14,000 issued to Patel Retailers had been entered correctly in the appropriate subsidiary book but had not been posted to their personal account. c) A cheque for Tshs 74,000 received from Davie Kuria was entered as Shs 47,000 in cash book and posted to the ledger accordingly. d) Discounts allowed shs 23,500 were credited to discounts received accounts in the ledger e) Rent received sh 22,000 has been credited to premises Account Sales book was undercast by sh 94,000 Required: i. Journal entries to rectify the above errorsand omissions Suspense Account, duly balanced ii. f)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students