PRC-1 · Chapter 8 · Question 89 of 100
An error where a transaction is entered in the correct class of account but the wrong specific personal account is known as an:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Error of commission
Explanation
An error of commission occurs when an entry is made to the wrong ledger account but within the correct category (e.g., wrong debtor or wrong creditor).
More Correction of Errors MCQs
- Q91A credit sale of Rs. 4,800 to Zaid was recorded in the sales day book as Rs. 8,400. What is the correcting journal entry?
- Q92The sales return day book was overcast by Rs. 1,200. What is the correcting journal entry?
- Q93A discount received of Rs. 600 was omitted from the Discount Received account in the general ledger, although it was correctly entered in…
- Q94Bank charges of Rs. 300 were completely omitted from the books. How does this affect the financial statements before correction?
- Q95Cash sales of Rs. 2,000 were posted to the credit of the Sales account but mistakenly debited to Trade Receivables instead of Cash. What…