I want to know everything related to rectification of errors identification of entry in mistake of journal or in ledger
Dear Student,
While preparing accounts when accountants make some mistake due to any reason , it stops tallying our accounts at the end of a specific period of time, these are known as Errors. When we draw Trial Balance and it is not matched, we have to detect these errors and after that detection we have rectify these errors by passing rectifying journal entries.
Errors may be of the following types:
1. Compensating Errors (which nullify its effect).
2. Conceptual Errors(due to lack of knowledge).
3. Errors of Omission .
4. Errors of commission.
Note : If there is a mistake in the book, both the accounts need to be rectified.
If there is a mistake in any particular account, only it should be corrected.
Regards
While preparing accounts when accountants make some mistake due to any reason , it stops tallying our accounts at the end of a specific period of time, these are known as Errors. When we draw Trial Balance and it is not matched, we have to detect these errors and after that detection we have rectify these errors by passing rectifying journal entries.
Errors may be of the following types:
1. Compensating Errors (which nullify its effect).
2. Conceptual Errors(due to lack of knowledge).
3. Errors of Omission .
4. Errors of commission.
Note : If there is a mistake in the book, both the accounts need to be rectified.
If there is a mistake in any particular account, only it should be corrected.
Regards