JAMB Accounts Principles of Accounts 2014 Paper

Concept:A one-sided omission of an entry is corrected through the suspense account because it makes the trial balance disagree.Explanation:The correct entry for a cheque paid to Sulieman is: debit Sulieman’s account, credit bank account.The credit to bank was correctly made in the cash book, but the debit to Sulieman’s account was omitted.Since only one side of the transaction was recorded, the suspense account was used to balance the trial balance.Therefore, to correct the error: debit Sulieman’s account and credit suspense account.Answer:C. suspense account