chapter14: errors which affect the trial balance

Question 1

list and explain the errors which affect the trial balance

Answer 1

•single entry error - made when a transaction is only recorded in one account instead of 2
•addition error - error arises as a result of incorrect addition in any account. may either be added up to be too high or too low
•error in completing double entry - A; recording a transaction on the same side of both accounts B; recording different amounts in both accounts

Question 2

explain the purpose of the suspense account

Answer 2

a temporary account where all the unexplained differences from the trial balance are posted