Errors Flashcards
1
Q
What is error of omission?
A
it is when a transaction has been completely omitted from the books
2
Q
What is error of commission?
A
it is when we enter the correct amount in the wrong account in the same class
3
Q
What is error of principle?
A
It indicates failure to understand double entry properly
4
Q
What is compensating errors?
A
This is when 2 separateand independant errors cacel eachother out by chance
5
Q
What is error of original entry?
A
It is when we do the correct double entry but with wrong numbers
