Edexcel International A Level Accounting: The trial balance and correction of errors (YAC11) – Practice Questions

These are original questions written for Marlbridge, for revision and practice on this content. They are not reproduced past-paper questions, and they do not replicate the exam’s exact structure, question count or mark tariffs – examination boards hold copyright in their own papers. Use these alongside the official past papers from your board or school.

These questions cover outcomes 1.2.1, 1.2.2 and 1.2.5 to 1.2.9 of Unit 1 in the Pearson Edexcel International Advanced Subsidiary/Advanced Level in Accounting (XAC11/YAC11) specification, Issue 2 (September 2018). All of it is International AS content, and all amounts are in dollars. Learn the content first from the study guide and revision notes. For control accounts see the earlier guide. Also: Edexcel A-Level Accounting hub, printable checklist and free diagnostics.

Questions

1. Prepare the trial balance of Peverell Joinery at 30 June 2026. Capital is the balancing figure. Balances: machinery 28,500; inventory at 1 July 2025 4,300; purchases 35,800; wages 14,600; light and heat 2,150; trade receivables 6,900; bank (in hand) 3,420; drawings 9,500; revenue 71,200; trade payables 4,850; discount received 260; loan 10,000. [6]

2. Tregarth Garden Centre’s trial balance agrees. Explain two reasons why this does not prove that its profit for the year is correct. [4]

3. For each error at Bowland Stationers, state whether the trial balance still agrees and name the type of error.

(a) A credit purchase of 2,300 was never recorded. [1] (b) A cheque of 1,100 from Lomax was credited to Raikes’s account (and debited to bank). [1] (c) An electricity bill of 640 was recorded as 460 in both accounts. [1] (d) Wages of 5,000 were debited to bank and credited to wages. [1] (e) Discount allowed of 90 was debited to discount allowed, with no credit entry. [1]

4. Selkirk Fabrics’ trial balance shows debits of 217,845 and credits of 217,575. Explain, with a calculation, why a transposition error might be the cause, and give one possible pair of figures. [3]

5. Prepare correcting journals, with narratives, for these errors at Fairbourne Bakery.

(a) An oven costing 4,800 was debited to repairs. [2] (b) A credit purchase of 1,540 from Jessop Ltd was credited to Yeoman Ltd. [2] (c) A receipt of 1,350 from the customer Zeller was debited to Zeller and credited to bank. [2]

6. Tindall Traders’ credit total was 940 higher than its debit total, and a suspense account was opened. Later it found: (i) bank charges of 130 were credited to bank but not debited anywhere; (ii) a cheque for 1,070 was credited to a customer but the debit to bank was omitted; (iii) wages of 2,860 were debited to wages as 2,680 (bank was right); (iv) a credit purchase of 440 was debited to purchases but not credited to the supplier.

(a) State the amount and side of the opening suspense entry. [2] (b) Prepare the correcting journals. [4] (c) Prepare the suspense account and show that it closes. [2]

7. Define a compensating error and explain, with an example, why the trial balance still agrees. [3]

8. Sunnock Foods’ profit for the year was first calculated as 33,720. Errors found: (i) shop fixtures of 3,600 were debited to purchases; (ii) bank charges of 215 were credited to bank but never debited; (iii) a cash sale of 750 was debited to revenue and credited to bank; (iv) a payment of 480 was debited to the wrong supplier’s account; (v) the owner’s electricity bill of 420 was debited to light and heat.

(a) Prepare a statement of revised profit. [7] (b) State the change in gross profit and show how you found it. [2]

9. Dunmoor Stores’ trade receivables control account shows a debit balance of 34,600, but its list of customer balances totals 31,055. Errors: (i) the sales returns day book was over-added by 350; (ii) the discount allowed total of 1,420 was debited, not credited, in the control account; (iii) a contra of 600 with a supplier was made in the individual accounts only; (iv) a customer balance of 1,085 was left out of the list; (v) an invoice for 2,070 was entered in a customer account as 2,700; (vi) an invoice for 800 was posted to the wrong customer.

(a) Prepare the corrected control account. [6] (b) Prepare the corrected list total, stating the effect of each error. [4] (c) State the entry needed in the trade payables control account. [1]

10. Zeller Print’s trial balance disagreed and a suspense account was opened. Errors found: (a) bank charges of 95 were credited to bank but not debited; (b) a cheque of 740 was debited to bank but credited to the customer as 470; (c) repairs of 1,200 were debited to machinery. Profit was first calculated as 20,880.

(i) For each error, state whether the trial balance disagrees. [3] (ii) Prepare correcting journals. [3] (iii) Calculate the opening suspense entry and prepare the suspense account. [2] (iv) Prepare the revised profit. [2]

Answers

1.

Account	Debit	Credit
Machinery	28,500
Inventory	4,300
Purchases	35,800
Wages	14,600
Light and heat	2,150
Trade receivables	6,900
Bank	3,420
Drawings	9,500
Revenue		71,200
Trade payables		4,850
Discount received		260
Loan		10,000
Capital		18,860
Totals	105,170	105,170

Assets, expenses and drawings in the debit column [2]; revenue, liabilities and discount received in the credit column [1]; debit total 105,170 [1]; capital 105,170 − 86,310 = 18,860 [1]; credit total agrees [1]. Examiner insight: answers tend to gain credit for correct columns and for showing how the balancing figure was found; a bank balance in hand is a debit.

2. Some errors put equal amounts on both sides, such as omission or a purchase of equipment debited to purchases [1], which would still misstate profit [1]. Compensating errors cancel in the totals [1] but still give wrong expense or income figures [1]. Examiner insight: tie each reason to profit, not just to the trial balance, and give an example error.

3. (a) Agrees, omission [1]. (b) Agrees, commission [1]. (c) Agrees, original entry [1]. (d) Agrees, complete reversal [1]. (e) Disagrees, one-sided entry [1]. Examiner insight: the verdict and the name usually both need to be given; naming an error alone leaves the question unanswered.

4. The difference is 270 [1]. 270 ÷ 9 = 30, and a transposition changes a figure by a multiple of 9 [1]. For example, 6,250 posted as 6,520 on the debit side [1]. Examiner insight: show the division, and treat it as a clue not a proof.

5. (a) Dr Plant and equipment 4,800 [1]; Cr Repairs 4,800, correcting an error of principle [1]. (b) Dr Yeoman Ltd 1,540 [1]; Cr Jessop Ltd 1,540, correcting the supplier account used [1]. (c) Dr Bank 2,700 [1]; Cr Zeller 2,700, twice 1,350 to reverse and correct [1]. Examiner insight: a narrative helps, and the doubled amount for a reversal can cost a mark.

6. (a) Debit [1] 940 [1], since credits exceeded debits. (b) (i) Dr Bank charges 130, Cr Suspense 130 [1]; (ii) Dr Bank 1,070, Cr Suspense 1,070 [1]; (iii) Dr Wages 180, Cr Suspense 180 [1]; (iv) Dr Suspense 440, Cr Trade payables 440 [1]. (c) Debit side: balance 940 and trade payables 440, total 1,380 [1]. Credit side: 130, 1,070 and 180, total 1,380, so the account closes [1]. Examiner insight: writing each journal with suspense on the clearing side makes the closing account easy to check.

7. A compensating error is two or more errors whose effects cancel [1]. For example, purchases and revenue are both over-added by 500 [1]; debits and credits each rise by 500, so the totals still agree [1]. Examiner insight: examples work best when the two errors are on opposite sides.

8. (a)

Item	Effect	Profit
First calculated		33,720
(i) Purchases overstated	3,600	37,320
(ii) Bank charges omitted	(215)	37,105
(iii) Revenue understated by 1,500	1,500	38,605
(iv) Wrong supplier	nil	38,605
(v) Expense overstated	420	39,025

Starting figure [1]; (i) [1]; (ii) [1]; (iii) [1]; (iv) no effect, since both accounts are payables [1]; (v) [1]; revised profit 39,025 [1]. (b) Gross profit increases by 3,600 + 1,500 = 5,100 [1] [1], because only (i) and (iii) involve purchases or revenue. Examiner insight: give the direction of each effect, and say why an error with no effect on profit changes nothing.

9. (a)

Trade receivables control
Balance per books	34,600	Discount allowed (wrong side)	2,840
Returns day book over-added	350	Trade payables (contra)	600
		Balance carried down	31,510
	34,950		34,950

Starting balance [1]; debit 350 [1]; credit 2,840, twice 1,420 [1]; credit 600 [1]; balance 31,510 [1]; totals agree [1]. (b) 31,055 + 1,085 omitted balance [1] − 630 for 2,700 entered instead of 2,070 [1] = 31,510 [1], which matches the control account; (vi) changes neither total [1]. (c) Debit trade payables control 600 [1]. Examiner insight: treat the control account and the list separately and say which total each error affects.

10. (i) (a) disagrees, one-sided [1]; (b) disagrees, different amounts on each side [1]; (c) agrees, principle [1]. (ii) Dr Bank charges 95, Cr Suspense 95 [1]; Dr Suspense 270, Cr Trade receivables 270 [1]; Dr Repairs 1,200, Cr Machinery 1,200 [1]. (iii) Debits exceeded credits by 175 (270 − 95), so suspense was opened as a credit of 175 [1]. The account has credits of 175 and 95 (total 270) and a debit of 270, so it closes [1]. (iv) Profit 20,880 − 95 − 1,200 [1] = 19,585 [1]. Examiner insight: show the opening difference as well as the closing check, and keep errors that agree out of suspense.

Where marks are usually lost

• Putting suspense on the wrong side.
• Journalising a complete reversal for the original amount only.
• Sending errors that leave the trial balance agreeing through suspense.
• Adjusting profit in the wrong direction.
• Giving an error name with no statement of whether the trial balance agrees.
• Changing profit for a correction between two statement of financial position accounts.
• Correcting the control account for an error that is only in the list.
• Forgetting that a debit posted on the credit side is out by twice the amount.

Next steps

• Revisit the study guide and revision notes.
• Open the Edexcel A-Level Accounting hub and tick off the printable checklist.
• Take the free 10-minute diagnostics.
• Book a free trial class.

Frequently asked questions

Which errors should go through the suspense account? Only errors that make the trial balance disagree, such as one-sided entries or wrong amounts on one side, go through suspense. Errors that leave the trial balance agreeing, such as omission or commission, are corrected by journal without suspense.

How do you answer an error-type question in Edexcel IAL Accounting (YAC11)? Name the type of error, describe it in words because the specification does not name the types, and state whether the trial balance still agrees. Giving an error name without saying whether the trial balance agrees loses marks.

Why is a debit posted on the credit side out by twice the amount? The entry is missing from the debit side and added to the credit side, so the difference between the totals is double the figure. The correction must reflect the doubled effect.

Do you correct the control account for an error in the list of balances? No. A control account and the list of individual balances can each be wrong for different reasons, and each is corrected on its own. Correcting the control account for an error that only sits in the list is a common mistake.

Official syllabus

Pearson Edexcel International Advanced Subsidiary/Advanced Level in Accounting (XAC11/YAC11) specification, Issue 2, September 2018, first teaching September 2015 (Pearson Education Limited). Unit 1, topic 1.2: outcomes 1.2.1, 1.2.2 and 1.2.5 to 1.2.9.