Economics · Financial Accounting
As at 31 December, Isambard's trial balance failed to balance and a suspense account was opened. When the following errors were discovered and rectified, the suspense account balance was eliminated: 1. The debit side of the trial balance was understated by $692. 2. A payment of $905 had been credited in the cash ledger but no corresponding entry had been made. What was the original balance on the suspense account?
- 1$1,597 Credit
- 2$213 Credit
- 3$213 Debit
- 4$1,597 Debit✓
Correct answer
$1,597 Debit
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