Page 220 - Office Practice and Accounting 10
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Rectification of Error:
The mistake can be committed while recording transactions , which is known as
accounting errors. Such errors are either due to the lack of knowledge of accounting
principles or owing to oversight. Rectification refers to the correction of wrong entry.
It is generally committed in the process of preparing government accounts. Errors
should be recertified in time. The following step is taken to rectify the error :
Find-out wrong entry that has been passed
Prepare the correct entry to be passed
Divide the correct entry by wrong entry
Pass the rectified entry
Example
Purchase of machinery of Rs. 20, 000 wrongly debited to furniture account.
Right Entry:
Dr. BE Machinery 20,000
Cr. N.R. Bank 20,000
Wrong Entry:
Dr. B.E. Furniture 20,000
Cr. N.R. Bank 20,000
Dr. BE Machinery ÷ Dr B.E. Furniture
Cr. N.R. Bank Cr N.R. Bank
Dr. BE Machinery × Cr N.R. Bank
Cr. N.R. Bank Dr B.E. Furniture
Government of Nepal
…………………Office/Department/Ministry
AGF No. 10 J.V.No.: .........
Code Particulars L.F. B.H. Debit Credit
No. No. (Rs.) (Rs.)
Dr. BE Machinery 29511 20,000
Cr. BE Furniture 29311 20,000
(Being rectification of error)
Total 20,000 20,000
Receipt No. : ........... Cheque No. : ...........
Received Amount : ........... Cheque amount : ...........
Submitted by : ........... Approved by : ...........
Position : ........... Position : ...........
Date : ........... Date : ...........
214 Office Practice and Accounting 10
