ROE Flashcards
(11 cards)
TYPES OF ERROR
1) error of commission
2)error of omission
3) compensating error
ERROR OF PRINCIPLE CAN ONLY HAPPEN AT
WHILE PASSING OF JOURNAL ENTRIES
COMPENSATING ERROR
JAB DO ERROR EK DUSRE KI GALTI KO NULLIFY KARDE
JAB KOI BHI EK SPOT KHAALI HO DR YAA CR TO WE USE
P$L SUSPENSE ALC
SHOW THE EFFECT ON TRIAL BALANCE / WITHOUT USING SUSPENSE ACCOUNT
dont use suspense account and write one liners with telling what would have happen before rectifying the given problem or entry
EX-1)the debit side would have been shorter by X$
ERRORS
1) NOT BEEN PASSED/ NOT ENTREED
2) POSTED TO THE DEBIT/ POSTED TO THE CREDIT
3) CASTED SHORT/ CASTED MORE
1) JOURNAL ENTRIES ke errors
2) LEDGER KE errors
3) TRIAL BALANCE KE ERROR
IN THE SUMS OF NEXT YEAR AND SHIT
THE ALL THE NOMINAL ACCOUNTS WILL BE CHANGED TO PROFIT AND LOSS ADJUSTMENT ACCOUNTS
IN THE NEXT YEAR QUESTIONS
1) DEBTOR
2) CREDITOR
3) NOMINAL
1) TRADE RECEIVABLE
2) TRADE PAYABLES
3) P&L ADJUSTMENTS ALC
IN EVERY QUESTION THAT IS NECCESSARY
TO OPEN A SUSPENSE ACCOUNT IF THE SUM IS OF SUSPENSE ACCOUNT BOLA GAYA HO YAAA NAHI BHI
jab question mei P&L ADJUSTMENT ALC aur SUSPENSE ALC BANNE TO
BALANCING FIGURE WILL BE TRANSFERED TO CAPITAL ACCOUNT
if the DIFFERENCE OF TRIAL BALANCE IS TRANSFERRED TO
1)suspense account
2)p&l account
1) BALANCE B/D = no journal entries
2) CAPITAL ALC = journal entries 2 more