PRC-1 · Chapter 3 · Question 9 of 100
The accountant of 'Silverline Corp' completely forgot to record a cash sale of Rs. 15,000 in both the cash book and the sales ledger. What type of error is this, and will the trial balance still balance?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Error of omission; Yes, it will balance.
Explanation
Completely omitting a transaction from the books of original record is an error of omission. Because both the debit and credit entries were missed equally, the trial balance totals will still agree.
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