Suspense account is used in the correction of

Accounts - Principles of Accounts

JAMB 2025

A. errors that affect the agreement of a trial balance
B. errors that affect the accuracy of the net profit
C. errors that do not affect the agreement of a trial balance
D. all errors in the trial balance

WAEC Past Questions, Objective & Theory, Study 100% offline, Download app now - 127076

WAEC and NECO CBT Software for Computers and Laptops - Candidates, Schools, Centres, Resellers - 100% Offline -Download Now

Correct Answer: Option A

Explanation

A suspense account is a temporary account used to record the difference when the trial balance does not balance. The difference is posted to the suspense account until the errors are found and corrected. It is used for correcting errors that affect the agreement of the trial balance.

Previous Next

Go back to Acc classroom

Report an Error Ask A Question Download App