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    Question

    If a company fails to record an entry for a transaction

    entirely, this is an example of:
    A Compensating errors Correct Answer Incorrect Answer
    B Errors of commission Correct Answer Incorrect Answer
    C Errors of principle Correct Answer Incorrect Answer
    D Errors of omission Correct Answer Incorrect Answer

    Solution

    Errors of omission occur when a transaction is not recorded at all in the books of accounts. This can happen if the entry is missed, leading to an incomplete record of financial activities.

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