• •GHI Ltd found that an extra capital of $9,000 paid into the bank had been credited to Sales.
  •Goods taken for own use worth $1,050 had been debited to General Expenses.
  •Private insurance of $125 had been debited to the Insurance account.
  •A purchase of goods from W. Brown for $880 was entered in the books as $780.
  •Cash banked of $350 was credited to the bank column and debited to the cash column in the cash book.
  •Cash drawings of $510 had been credited to the bank column of the cash book.
  •Returns inwards of $260 from H. Davis had been entered in error in S. Taylor’s account.
  •A sale of furniture for $2,100 had been credited to Office Expenses.
  Requirement: Prepare the correcting journal entries and explain how these adjustments will affect the statement of retained earnings.