Courses » SS1 » SS1 Accounting » Accounting Exam Topics » Errors That Affect The Trial Balance - Questions and Answers

Errors That Affect The Trial Balance - SS1 Accounting Past Questions and Answers - page 1

1

What is an error of omission in accounting that affects the trial balance?

A

Recording an incorrect amount for a transaction

B

Recording a transaction in the wrong accounting period

C

Completely leaving out a transaction from the accounting system

D

Recording a transaction twice

correct option: c
Users' Answers & Comments
2

Which type of error in accounting affects the trial balance by recording an incorrect amount for a transaction?

A

Errors of omission

B

Errors of commission

C

Errors of principle

D

Errors of reversal

correct option: b
Users' Answers & Comments
3

Which type of error in accounting affects the trial balance by recording an incorrect amount for a transaction in the original accounting record?

A

Errors of omission

B

Errors of commission

C

Errors of principle

D

Errors in the original entry

correct option: d
Users' Answers & Comments
4

Which type of error in accounting affects the trial balance by recording a transaction in the wrong accounting period?

A

Errors of omission

B

Errors of commission

C

Errors of principle

D

Errors of timing

correct option: d
Users' Answers & Comments
5

Why is it important to identify and correct any errors that affect the trial balance? 

A

To ensure the accuracy of financial information

B

To increase profits

C

To reduce expenses

D

To improve employee morale

correct option: a
Users' Answers & Comments
6

What is the purpose of the trial balance in accounting?

 

The purpose of the trial balance in accounting is to ensure that the total debits equal the total credits in the system, which means that the accounting equation (assets = liabilities + equity) is in balance.

Users' Answers & Comments
7

How can an imbalance in the trial balance affect a company's financial statements?

An imbalance in the trial balance can lead to inaccurate financial statements and misrepresentations of a company's financial position.

Users' Answers & Comments
Recommended: SS1 Accounting Lessons
Please share this, thanks: