Ans()

(a) Show the journal entries necessary to correct the errors.

a. Dr Suspense 200
Cr Sales 200

ii. Dr T Vantuira 610

Cr T Ventura 610

iii. Dr rent Expense 90

Cr Suspense Account 90

iv. Dr Suspense Account 100

Cr Discount Allowed 100

v. Dr Sales 230

Cr Computer Disposal 230

(b) Draw up the suspense account after the errors described have been corrected.

Suspense Account (Current Liability)

DR CR

Sales 200 20x6 O/B 210

Disc Allowed 100 Rent 90

C/B 0

300 300