chapter 13: errors which DON'T affect the trial balance

Question 1

list and explain errors which don’t affect the trial balance

Answer 1

• error of omission - when a transaction is not recorded in the books
• error of commission - when the correct amount is entered on the correct side of the wrong personal account
• error of principle - when the correct amount is entered on the correct side the wrong class of account
• complete reversal - when the correct amount is entered on the wrong side the both accounts
• error of original entry - when the double entry of a transaction is completed correctly but using the same wrong amount in both accounts
• compensating error - when 2 different errors affect the debit and credit entry with exactly the same amount