Error adjustments

janakG
janakG Registered Posts: 9
the question is what adjustment do you need to make to the SLCA?

the sales ledger column in the cash book - debit side was undercast by 100

why is the adjustment CREDITING 100?

Comments

  • thelowendtheory18
    thelowendtheory18 Registered Posts: 298
    It's understated payments received by customers ..therefore the amount that the customers OWES the business has been OVERSTATED

    To correct the error a credit entry is needed to REDUCE the debt that its customers owes
    AAT

    Level 2 Foundation Certificate in Accounting - 30 Nov 18
    Level 3 Advanced Diploma in Accounting - 16 Oct 19
    Level 4 Professional Diploma in Accounting - 22 Jul 21
    Cheesypeesy
Privacy Policy