Q.The following errors were discovered in the books of a trader BEFORE the preparation of the Trial Balance. Give the rectifying entries (or, where no journal entry is possible, state the direct correction):

Because all five mistakes are being corrected before any Trial Balance exists, each one is treated purely on whether it is one-sided or two-sided — there is no Suspense Account to fall back on yet.

(a) Furniture A/c Dr ₹4,000; To Purchases A/c ₹4,000. (b) Machinery A/c Dr ₹1,500; To Wages A/c ₹1,500. (c) Reduce the Sales Account directly by ₹800 (one-sided, no journal entry possible). (d) Credit Mahesh's account directly by a further ₹1,200 (one-sided). (e) Naresh A/c Dr ₹350; To Purchases Return A/c ₹350.

1. Furniture wrongly debited to Purchases Account — Error of Principle, two-sided. Both the amount (₹4,000) and the side (debit) were correct; only the class of account was wrong. Rectifying journal entry: Furniture A/c Dr ₹4,000 To Purchases A/c ₹4,000 (Being the correction of furniture purchased, wrongly debited earlier to Purchases Account.)
2. Installation wages wrongly debited to Wages Account — Error of Principle, two-sided. Capital expenditure (bringing machinery into working condition) was wrongly treated as revenue expenditure. Rectifying journal entry: Machinery A/c Dr ₹1,500 To Wages A/c ₹1,500 (Being installation wages, wrongly debited earlier to Wages Account, now transferred to Machinery Account.)
3. Sales Book overcast by ₹800 — one-sided error, only the Sales Account affected. Since this is discovered BEFORE any Trial Balance is prepared, there is no Suspense Account to journalise against, and no second real account is involved either — the Sales Account itself is simply reduced directly by ₹800, with a note recording that this correction was made for the overcasting found in the Sales Book.
4. ₹600 received from Mahesh posted to the debit instead of the credit of his account — one-sided error, only Mahesh's account affected. Posting it to the wrong side first cancels the correct credit that should have been made (₹600), and then further needs the correct credit itself (another ₹600) — a total further credit of ₹1,200 must be posted directly in Mahesh's account, since (again) this is discovered before any Trial Balance exists.
5. Goods of ₹350 returned to Naresh, never recorded anywhere — complete omission, but a two-sided correction. Since NEITHER side of this transaction was ever entered, bringing it into the books now requires a full journal entry, exactly as it should have been passed originally: Naresh A/c Dr ₹350 To Purchases Return A/c ₹350 (Being goods returned to Naresh, omitted earlier, now recorded.)
   ✓Final answer

   (a) Furniture A/c Dr 4,000, To Purchases A/c 4,000. (b) Machinery A/c Dr 1,500, To Wages A/c 1,500. (c) Sales Account directly reduced by 800 (no journal entry, one-sided, pre-Trial-Balance). (d) Mahesh's Account directly credited by a further 1,200 (no journal entry, one-sided, pre-Trial-Balance). (e) Naresh A/c Dr 350, To Purchases Return A/c 350.

For each item, first decide whether it is one-sided or two-sided (does correcting it need a second account, or only the one already affected?), and only then decide whether a journal entry is even possible — before the Trial Balance stage, a one-sided error can never be journalised, since there is no Suspense Account to complete the double entry against.

A common mistake in item (d) is crediting Mahesh's account by only ₹600 (the correct amount of the original receipt) instead of ₹1,200. Because the ₹600 was wrongly posted to the DEBIT side, that wrong debit must first be cancelled (₹600) before the correct credit (another ₹600) can be recorded — a wrong-side posting always needs DOUBLE the original amount to fully correct.