Neco Model Questions Vol1 2020 Financial Accounting Question 36
Practice objective / multiple choice question 36 from the 2020 Neco Model Questions Vol1 Financial Accounting examination.
After posting all entries, the trial balance shows total debits of \(N150,000\) and total credits of \(N144,500\). The accountant discovers the following errors: (i) a purchase of \(N12,000\) was omitted; (ii) a sales entry of \(N8,000\) was recorded twice; (iii) a cash receipt of \(N3,500\) was posted to the rent expense account instead of cash. Determine the amount that must be transferred to the suspense account to balance the trial balance and state the type of error that accounts for the remaining imbalance (choose from error of omission, error of commission, or error of principle).
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About This Question
This is Neco Model Questions Vol1 2020 Financial Accounting Question 36. It is one of the objective questions from the 2020 Neco Model Questions Vol1 Financial Accounting examination.
Difficulty level: Medium .
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