Accounting for IGCSE & O level - Accounting Procedures (Section 13 - No. 28)
If the debit side of a trial balance is $500 less than the credit side, which is the correct first step?
Add the difference to an asset account.
Debit the suspense account for $500.
Credit the suspense account for $500.
Make the correcting entry.
Explanation
Because the credits are higher, the suspense account receives the credit, to fix the imbalance.
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