I n t e r a c t I v e t e X t foundations in Accountancy/ acca financial accounting (ffa/FA) bpp learning Media is an acca approved Content Provider

error of omission

 means failing to record a transaction at all, or making a debit or credit entry, but 

not the corresponding double entry. 

 

Here is an example. 

(a) 

If a business receives an invoice from a supplier for $250, the transaction might be omitted from 

the books entirely. As a result, both the total debits and the total credits of the business will be 

incorrect by $250. 

(b) 

If a business receives an invoice from a supplier for $300, the payables control account might be 

credited, but the debit entry in the purchases account might be omitted. In this case, the total 

credits would not equal total debits (because total debits are $300 less than they ought to be). 

1.3 Errors of principle 

An