Rectification of Errors | Types of Errors in Accounting | Solutioninn.com
This is our first lecture on “Rectification of errors in Accounting” that explains the two types of errors in accounting with examples. You can see solved examples on
https://www.solutioninn.com/search?ke...
Errors in accounting
Accounting mistakes
Accounting errors and corrections
Accounting errors
Accounting errors and rectifications
Error rectification
Error rectification in accounting
Error rectification in accounts
Error account
Error of omission
Error of omission and commission
Error of omission in accounting
Error of principle accounting example
Error of principle
Error of principle in accounting
Rectification of errors in accounting
Errors of rectification
Errors of accounting
In this video two most commonly used terms i.e. Error and Fraud are differentiated. The video first explains what is an error in accounting?, and then with the help of two very interesting solved examples taken from a spa business which provides various services like massage, steam bath, etc.
The example will first explain the scenario under which an accountant can wrongly record a transaction without an intention of fraud. Then if the error is discovered, the rectification process is explained.
The first example explains the first type of error that is error by amount. This happens when an accountant enters the incorrect amount while recording the transaction. The rectification of such an error will affect both sides of the journal entry as this affects the amount of two different accounts.
The second example explains another type of error that is error of accounting principle. This happens when an accountant misinterpret the accounting rules and enters the wrong accounts instead of the accounts that should have been used. The rectification of such an error will affect normally only one side of the journal entry as this affects one account that has been wrongly debited or credited.
SolutionInn is committed to improve its study resources and video lectures is one of the areas.
You can follow solutioninn community on Twitter and get in touch with us for anything
/ solutioninn
Our Instagram fans are growing and you can tell us what you think about us
https://www.instagram.com/solution_in...
Our Facebbok page is most active of all and you won’t miss new offers and giveaways here
/ solutioninn
Shape up your career with SolutionInn by following our page on LinkedIn
/ solutioninn
You are never too late to know SolutionInn by seeing the Pinterest timeline pins and attractive boards
/ solutioninner