PRC-1 · Chapter 3 · Question 59 of 100
Which of the following pairs of errors will NOT affect the agreement of a trial balance?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Error of principle and compensating error.
Explanation
Errors of principle (entering the correct amount on the correct side but wrong class of account) and compensating errors (independent errors that cancel each other out) do not disrupt the mathematical balance of debits and credits.
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