Question
A book-keeper extracts a trial balance which fails to
agree. He places the difference in a/an:Solution
When a trial balance does not agree, the book-keeper temporarily records the difference in a Suspense Account until the errors causing the disagreement are found and corrected. • Asset A/c → Used for assets, not for trial balance differences • Expenses A/c → Used for expenses • Revenue A/c → Used for income • Suspense A/c → Used to hold unexplained differences in the trial balance
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