What are the journal entries to correct the following errors?
1. In recording an issue of shares at par. Cah received of $54 was credited to ordinary share capital account as $45.
2. Cash $54 paid for plant repairs was correctly accounted for in the cash book but was credited to the plant asset account.
3. The petty cash book balance of $54 had been omitted from the trial balance.
4. A cheque for $54 paid for the purchase of a motor car was debited to the motor vehicles account as $ 45.
Suggested Solution:
| 1 | Debit | Suspense account | 9 | Credit | Ordinary Share | 9 |
| 2 | Debit | Plant Repair | 54 | |||
| Debit | Plant asset | 54 | Suspense account | 108 | ||
| 3 | Debit | Petty Cash | 54 | Credit | Suspense account | 54 |
| 4 | Debit | Motor Vehicle | 9 | Credit | Suspense account | 9 |