What do you understand by balancing of account?
Balancing of Account:- Balancing an account means totalling the two sides and striking the difference. The difference is written in the column with shorter balance and is carried forward as a balance in the next accounting period.
The difference between the sum of the two sides of an account is called the balance. This is the most important part of an account as it shows the value or position of asset, liability, capital, income or expenses of which the account is a record. If the total of the debit side exceeds the total of the credit side then this would be represented by a debit balance and the opposite is true for a credit balance.
Show the effect through Journal entries:
Credit sales to Mohan 10,000 were posted to his account as 12,000
This is an error of ..................................
The wrong effect has been:
The correct effect should have been:
The rectification entry will be.
NCERT questions are designed to test your understanding of the concepts and theories discussed in the chapter. Here are some tips to help you answer NCERT questions effectively:
Welcome to the NCERT Solutions for Class 11 Accountancy - Chapter . This page offers a step-by-step solution to the specific question from Excercise 2 , Question 6: What do you understand by balancing of account?....
Comments