Question

1. Match the following errors to the types of errors that are not revealed by the trial balance.                                                                                               

	Error	Types of errors
a.	Goods bought on credit were credited in the Purchases account.	Commission
b.	Sold goods to B Brown and debited F Brown’s account.	Original entry
C	Paid rent for P6, 500 but recorded P5, 600 in the books of accounts.	Principle
a.	A cash sale of P600 was incorrectly entered as P500 in the books of accounts.	Transposition
b.	Motor expenses were debited in the Motor Vehicles account	Complete reversal of entry

Answer 1

Solution :
The matching of the following errors to the types of errors that are not revealed by the trial balance are as follows along with its reason :-.
S.No.	Error	Types of errors	Reason
1	Goods bought on credit were credited in the Purchases account.	Complete reversal of entry	In this type of error, an account that should be debited is credited and vice versa, as in the given case purchase account must be debited but it is wrongly credited.
2	Sold goods to B Brown and debited F Brown’s account.	Commission	When the correct account is not debited and an irrelevant account is debited, then this error occures , as in the given case, F Brown's account is debited inspite of B Brown's account.
3	Paid rent for P6, 500 but recorded P5, 600 in the books of accounts.	Transposition	It is a data entry error that is caused by inadvertently switching two adjacent numbers i.e. Exchanging '5' in place of '6' and vice versa.
4	A cash sale of P600 was incorrectly entered as P500 in the books of accounts.	Original entry	This error occurs, when incorrect figure is posted in the correct account, as P500 is incorrectly entered inspite of P600.
5	Motor expenses were debited in the Motor Vehicles account	Principle	When the amount is correctly posted on both debit and credit sides, but in the incorrect account i.e inspite of debiting the Motor Expenses, Motor Vehicle account is debited, then it does not effect the trail balance and error of Principle occurs.