1. Rectify all the following accounting errors: i. Purchase of goods from Marry's amounting to RM2,500...

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1. Rectify all the following accounting errors: i. Purchase of goods from Marry's amounting to RM2,500 was entered in Sales Account, however, Marry's Account was correctly credited. ii. Cash of RM3,200 was received from james's a debtor, was correctly entered in Cash Account but was omitted to be posted to his account. iii. Sales Account was overstated by RM1,500. iv. Cash of RM4,000 paid to Hannah's was credited to Honey's Account as RM1,400. v. The total Purchase Returns Account of RM3,150 was carried forward as RM1,530. vi. Nelly was paid cash of RM6,500 but Selly's Account was debited by RM6,000. You are required to: (a) Prepare the necessary journal entries to record the suspense account. (b) Explain when should a suspense account be opened and closed. 1. Rectify all the following accounting errors: i. Purchase of goods from Marry's amounting to RM2,500 was entered in Sales Account, however, Marry's Account was correctly credited. ii. Cash of RM3,200 was received from james's a debtor, was correctly entered in Cash Account but was omitted to be posted to his account. iii. Sales Account was overstated by RM1,500. iv. Cash of RM4,000 paid to Hannah's was credited to Honey's Account as RM1,400. v. The total Purchase Returns Account of RM3,150 was carried forward as RM1,530. vi. Nelly was paid cash of RM6,500 but Selly's Account was debited by RM6,000. You are required to: (a) Prepare the necessary journal entries to record the suspense account. (b) Explain when should a suspense account be opened and closed.

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