Error of Original Entry

Correction of Errors

MS: Kesilapan Amaun Asal · EN: Error of Original Entry · ZH: 原始记录金额错误

Meaning

An error of original entry occurs when the wrong amount is recorded in the book of prime entry, but the same wrong amount is posted to both the debit and credit sides. Because debit and credit stay equal, the trial balance balances and it is an error not affecting it. It is corrected by adjusting the difference between the correct and wrong amounts.

Example

For example, a credit purchase should be RM900 but was recorded as RM90 in both accounts. The difference is RM810. Correction: Debit Purchases Account RM810, Credit Creditor Account RM810.

Source: DSKP KSSM Prinsip Perakaunan Tingkatan 4

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