Balance question

System
System Posts: 100,534 🤖 Admin 🤖
edited 10:24AM in AAT student discussion
I have been given an exercise where I have to enter various transactions then at the end do the trail balance.

I completed all transatactions and started to in put them to my trail balance. When I added these up I realised that I was 8070 out.

So I went through all my entries double checked them to make sure I had put them in the right place and I had not transposed any figures.

The excerise I was given already had printed bought down balances on it. So I decided to check if they balanced from the start. And I found out that they were also out by 8070. What should I do?

Will this be an error on the paper?

Many Thanks

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Balance question

    You could open a new account, call it "Suspense" and put the £8070 in there and make the Trial Balance right. You might make a comment such as "imbalance in Brought Down Values" or something like that to show that the value in the suspense account was nothing to do with your work.
    Anne Marie
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Balance question

    Ahh excellent. I can't be wrong because to be out by £8070 would be insane. Right?
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Balance question

    it depends on the transactions given to you on your excercise sheet.
    I sometimes forget to record the second entry on double-entry and have to recalc some of the balances.

    I would say double check your accounts but if they were out before the excercise then the suspense account idea sounds best.
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Balance question

    8,070 isn't divisible by 9 so it's unlikely to be a case of transposed figures. If it's an error in the question then just open the suspense up like Anne Marie said, with an additional footnote at the bottom...

    God bless that good old Suspense account! Had to use it in my intermediate FRA exam too! When in doubt, get it out!

    Robert
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Balance question

    does the figure 4035 appear on the sheet somewhere.

    Are you refering to a section 2 question in plb or in section one.

    what year did you do. i have done all the past exam papers since 2002 and have not come across this problem.

  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Balance question

    I think Dannii has probably already solved this problem. Probably moved onto other exercises and thus hasn't returned.

    It was a month ago, and things can move pretty fast in this forum... :D

    By the way, are you taking your exam in December?
    And, NVQ pathway? Foundation level? And are you studying at college or by distance-learning?

    It was probably a question from the IAC exam, if you don't recognise it. (For the Diploma pathway.)

    I am impressed that you have managed to get past papers from that far back!!!! :!: :D

    (Mr Blobby is completing his Technician level...)

    Do you have any problems with the course, that the rest of us can help you with?

    Fire away... :D

    [advert for Study Buddy - repealed, through oversubscription... :twisted: ]
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Balance question

    Toadface did you used to be a salesman? You're promoting the studdy buddy forum very well!
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Balance question

    Thankyou. :D

    No, never been in sales. :lol:

    Part-time retail while at school (stacking shelves) is closest.

    And, you know that time that you shouted at me for calling you 'Gemma'...? :wink:

    Hint...Hint - Hmmm.........
    :lol::lol::lol:

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