The accounts of D R Kookaburra revealed four errors and require correction by general journal.

a Rent of $869 was incorrectly allocated and posted to rates from the cash payments journal.

b The tax invoice from goods obtained for resale from C King $8283 ($7530 + $753 GST) was erroneously recorded and processed through the purchases journal as $3828 ($3480 + $348 GST) to both the general and subsidiary ledgers.

You are required to prepare:

i the correction journal entry, and ii reversal and correcting general journals.

c Rent received $902 ($820 + $82 GST) was incorrectly allocated in the cash receipts journal as a cash sale.

d Drawings of $220 for inventory taken by the owner and GST of $20 were correctly treated. However, the other entry was allocated to inventory when the periodic inventory system was in use.