a. On 31st December 2017 Omega extracted a trial balance and found that it did not balance. The debit column totaled $51

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A On 31st December 2017 Omega Extracted A Trial Balance And Found That It Did Not Balance The Debit Column Totaled 51 1 (68.1 KiB) Viewed 41 times

a. On 31st December 2017 Omega extracted a trial balance and found that it did not balance. The debit column totaled $510,450, and the credit columns totaled $505,021. Omega entered the difference in suspense account. Upon investigation he found that the following errors had been made. (i) A purchase for cash of $750 had been correctly entered into the cash account but had not been entered into the purchase account. Discount received of $375 had been posted to the debit side of the discounts received account. (iii) A purchase of goods for sale of $15,750 paid in cash had been entered in the purchase account as $18,750. (iv) The sales returns day book had been under cast by $1,200. (v) The sales day book had been overcast by $1,500. (vi) Interest received for the year of $2,625. Had been entered as a debit entry in the interest payable account. (vii) Telephone expenses of $258 paid by cheque had been posted to the debit side of the telephone expense account as $285. Required: 1. Identify the types of errors-> unit's y Sessionu 2. State the effect of each error on Omega's Profit for the period. (15 Marks)