The following trial balance has been prepared by a trainee accounting clerk from the

books of TM Dilshan.

Trial Balance as at 31 December 2015

Account

Debit

Credit

Bank balance

40 000

Capital

79636

Carriage outwards

200

Closing stock

2500

Drawings

10 000

Fixtures and fittings

40 000

Opening stock

3 000

Provision for depreciation - fixtures and fittings

4 000

Purchases

55 000

Rent and rates

4 500

Sales

70 000

Wages and salaries

15 000

Suspense

436

162 136

162 136

(a) what is the corrected version of Dilshan's trial balance, with an amended figure for

the suspense account.

Trial Balance as at 31 December 2015

Account

Debit

Credit

Bank balance

Capital

Carriage outwards

Closing stock

Drawings

Fixtures and fittings

Opening stock

Provision for depreciation - fixtures and fittings

Purchases

Rent and rates

Sales

Wages and salaries

Suspense

After the corrected version of the trial balance was prepared, the following errors and

omissions were found in the accounting system.

During the year Dilshan had invested a further 10 000 into the business.

This had been correctly entered into the business bank account

but had not been entered into the capital account.

In March 2015 some new machines had been purchased at a cost of 12 500;

These had been debited to the purchases account.

In December 2015Dilshan had received a refund of rates amounting to 564.

Thishad been correctly entered into the business bank account

but no further entrieshad been made.

Wages paid in December 2010 totalling 400 had been correctly entered in the

cash book, but had been debited in the wages account as 1 400.

(b) Prepare journal entries to correct these errors and omissions. Narratives are not

required.

Date

Narration

Debit

Credit

(c) Prepare the suspense account, clearly showing the opening balance calculated in

part (a).

Suspense Account

Date

Narration

Amount()

Date

Narration

Amount()