Acca financial Accounting (FA) Study Text ac ca (FA)

Complete the relevant ledger accounts. 

(b) 

Extract a trial balance.

 

 

 

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Chapter 16 

KAPLAN PUBLISHING

 

273 

4 

Types of error 

 

This shows that whilst the trial balance provides a useful control mechanism for 

detecting errors, a balanced trial balance does not guarantee the accuracy of 

the financial statements. 

 

 

Errors where the trial balance still balances 

 

•

 

Error of omission

: A transaction has been completely omitted from the 

accounting records, e.g. a cash sale of $100 was not recorded. 

•

 

Error of commission:

 A transaction has been recorded in the wrong 

account, e.g. rates expense of $500 has been debited to the rent account 

in error. 

•