RECTIFICATION OF

ERROR
ILLUSTRATION
TRANSACTION -1
A sale of goods £412 to T More had been entered
in T Mone’s account

Error of Commission
What Actually Happened What should have Happened Rectification

Debit T Mone 412

Credit Sale 412
T Moore 412
Credit Sale 412

Debit T Mone 412

Credit T Moore 412
TRANSACTION -2
The purchase of a machine on credit from J Frank for £619
had been completely omitted from our books.

Error Of Omission
What Actually Happened What should have Happened Rectification

NIL

Debit Machine 619

Credit J Frank 619

Debit Machine 619

Credit J Frank 619
TRANSACTION -3
The purchase of a computer for £550 cash had
been entered in error in the Office Expenses
account.

Error of Principle
What Actually Happened What should have Happened Rectification

Debit Office expense 550

Credit cash550

Debit Computer 550

Credit Cash 550

Debit Computer 550

Credit Office Expense 550
TRANSACTION -4
A sale of £120 on credit to B Wood had been entered in the
books, both debit and credit, as £102.

Transposition Error
What Actually Happened What should have Happened Rectification

Debit B Wood 102

Credit Sale 102

Debit B Wood 120

Credit Sale 120

Debit B Wood 08
Credit Sale 08
TRANSACTION -5
Commission received as cheque £164 had been
entered in error in the Sales account.

Error of Principle
What Actually Happened What should have Happened Rectification

Debit Bank 164

Credit Sale 164

Debit Bank 164

Credit Commission 164

Debit sale 164

Credit Commission 164
TRANSACTION -6
A receipt of cash from T Blair £68 had been entered on the
credit side of the cash book and the debit side of T Blair’s
account

Error of Complete Reversal

Cash T Bliar
68 68
What Actually Happened What should have Happened Rectification
Debit Cash 68
Debit T Blair 68 Credit T Blair 68
Credit Cash 68 Debit Cash 68
Cash Debit Cash 68 Credit T Blair 68
68 Credit T Blair 68

T Bliar
68

Debit cash 136

Credit T Bliar 136
TRANSACTION -7
A purchase of goods on cash £372 had been entered in error on
the debit side of the Drawings account

Error of Principle
What Actually Happened What should have Happened Rectification

Debit Drawing 372

Credit Cash 372

Debit Purchase 372

Credit Cash 372

Debit Purchase 372

Credit Drawing 372
TRANSACTION -8
Discounts Allowed £48 had been entered in error on the debit side
of the Discounts Received account

Error of Principle

Discount Received
Discount Allowed
48
What Actually Happened What should have Happened Rectification
Discount Received
Discount Received Discount Received
48
48 48

Discount Allowed Discount Allowed

Discount Allowed
48 48

Debit Discount Allowed 48

Credit Discount Received 48