These eight questions use invented businesses and figures. Attempt each one on paper before opening the answer, and write the wrong entry, the right entry and the correction.
The questions follow the lessons in SPM Accounting correction of errors. To time yourself, use the timed original practice session builder.
Questions
Q1. A cash sale of RM80 at Kedai Buku Sinar was not entered anywhere. Name the error type.
Answer
Neither the Cash debit nor the Sales credit was posted, so this is an error of omission. The trial balance still agrees.
Q2. A motor van repair of RM250 was debited to Motor Van account. Name the error type.
Answer
Repairs are an expense, but the debit went to an asset account. The accounts are from different classes, so this is an error of principle.
Q3. Sales was overcast by RM100 and Rent Received was undercast by RM100. Name the error type and say whether the trial balance agrees.
Answer
Two separate errors of equal size on opposite sides cancel out. This is a compensating error, and the trial balance agrees. The correction is Dr Sales 100, Cr Rent Received 100.
Q4. A payment of RM300 to creditor Kamal was debited to Kamil’s account instead of Kamal’s. Both are creditors. Write the correcting entry.
Answer
Wrong entry: Dr Kamil 300, Cr Cash 300. Right entry: Dr Kamal 300, Cr Cash 300.
Only the debit account differs, so the correction is Dr Kamal 300, Cr Kamil 300. This is an error of commission.
Q5. RM150 received from debtor Lina was posted as Dr Lina 150, Cr Cash 150. Write the correcting entry.
Answer
The sides are swapped. Right entry: Dr Cash 150, Cr Lina 150. Each account is out by twice the amount.
Correction: Dr Cash 300, Cr Lina 300.
Q6. A credit purchase of RM640 was recorded as RM460 in both Purchases and the creditor’s account. Write the correcting entry and state the effect on profit.
Answer
The gap is 640 − 460 = RM180. Correction: Dr Purchases 180, Cr Creditor 180.
Purchases rise by 180, so profit falls by RM180.
Q7. Net profit was RM9 600. Commission received RM200 was credited to Sales. Wages of RM500 were omitted.
A computer costing RM1 800 was debited to Purchases.
Find the corrected profit.
Answer
Commission credited to Sales: income to income, so 0.
Wages omitted: expense up 500, so −500.
Computer in Purchases: Purchases down 1 800, so +1 800.
Corrected profit: 9 600 − 500 + 1 800 = RM10 900.
Q8. A trial balance showed a difference and a credit of RM75 was placed in Suspense. The cause was RM75 received from a debtor, posted to Cash only. Write the correcting entry and state the effect on profit.
Answer
The debtor’s account is missing its credit. Correction: Dr Suspense 75, Cr Debtor 75.
No income or expense account is involved, so profit does not change. Suspense clears to nil.
If you got these wrong
Classification slips (Q1 to Q3) go back to classifying accounting errors. Entry slips (Q4 to Q6) go to writing correcting journal entries.
Profit and suspense slips (Q7 and Q8) go to calculating the effect on profit. Record each slip in the mistake log and paper error review so the pattern shows up.
If you want a teacher to mark your working on questions like these, see online one-to-one Accounting tuition.