Page 234 - ISCDEBK-XI

21.22 Double Entry Book Keeping—ISC XI
(c) Suspense A/c ...Dr. 800
To Profit & Loss Adjustment A/c 800
(Being discount received entered in the cash book but wrongly not
posted in Ledger, now rectified)
(d) Suspense A/c ...Dr. 800
To Profit & Loss Adjustment A/c 800
(Being purchase returns of ` 400 posted wrongly to the debit of
Purchases Account, now rectified)
(e) Machinery A/c (Note) ...Dr. 24,000
To Profit & Loss Adjustment A/c 24,000
(Being purchase of machinery for ` 24,000 entered wrongly in the
Purchases Day Book, now rectified)
(f) N. Das ...Dr. 2,000
To Suspense A/c 2,000
(Being a debit amount of ` 1,000 wrongly carried forward as
credit amount, now rectified)
(g) S. Das (` 6,192 + ` 92) ...Dr. 6,284
Profit & Loss Adjustment A/c ...Dr. 716
To P. Ghosh 7,000
(Being a cheque of ` 6,192 received from Mr. S. Das endorsed to
P. Ghosh for full settlement of ` 7,000 and dishonoured but no
entry was passed, now rectified)
Profit & Loss Adjustment A/c ...Dr. 21,868
To Capital A/c 21,868
(Being net profit transferred to Capital Account)

Note: For lack of information regarding depreciation rate, no effect has been given in the Profit & Loss
Adjustment Account.

Dr. SUSPENSE ACCOUNT Cr.
Particulars ` Particulars `
To Balance b/d (Balancing Figure) 2,000 By Profit & Loss Adjustment A/c 1,600
To Profit & Loss Adjustment A/c 800 By N. Das 2,000
To Profit & Loss Adjustment A/c 800
3,600 3,600

Dr. PROFIT & LOSS ADJUSTMENT ACCOUNT Cr.
Particulars ` Particulars `
To Motor Car A/c 696 By Suspense A/c 800
To Suspense A/c 1,600 By Suspense A/c 800
To J. Das 720 By Machinery A/c 24,000
To P. Ghosh 716
To Capital A/c (Balancing Figure) 21,868
25,600 25,600