Errors that don't affect the trial balance Flashcards
1
Q
Compensating Error
A
Where errors on the debit side equal errors on the credit side and they cancel each other out
2
Q
Error of Commission
A
Where an amount is posted to an incorrect account of the correct type
3
Q
Error of Principle
A
When an amount is posted to an incorrect class of account
4
Q
Error of Original Entry
A
Where an error is made transferring an amount from the source document into the book of original entry.
5
Q
Errors of Reversal
A
Where the account that should have been debited has been credited and the amount that should have been credited has been debited
6
Q
Errors Of Omission
A
Where both sides of the transaction, debit and credit, have been omitted from the records
