(a) List four items each that are found on the (i) credit side of the sales ledger control account; (ii) debit side of the purchases ledger control account....

(a)(i) Four items on the CREDIT side of the Sales Ledger Control Account

• Cash and cheques received from debtors (receipts)
• Discount allowed to debtors
• Returns inwards (sales returns) from debtors
• Bad debts written off
• Bills receivable accepted by debtors

(Any four. Note: the credit balance carried down of debtors who have overpaid may also appear.)

(a)(ii) Four items on the DEBIT side of the Purchases Ledger Control Account

• Cash and cheques paid to creditors (payments)
• Discount received from creditors
• Returns outwards (purchases returns) to creditors
• Bills payable accepted and honoured
• Set-off / contra transfer to the sales ledger

(Any four.)

(b) Seven types of errors a Trial Balance will NOT reveal

1. Error of omission: a transaction completely left out of the books.
2. Error of commission: a correct amount entered in the wrong account of the same class (for example, posting a sale to Musa's account instead of Musah's).
3. Error of principle: a transaction entered in the wrong class of account (for example, treating the purchase of a motor vehicle as motor expenses).
4. Error of original entry (or error of amount): a wrong figure entered in the source document and carried consistently to both accounts (for example, N540 recorded as N450 on both sides).
5. Complete reversal of entries: the account to be debited is credited and the one to be credited is debited.
6. Error of duplication: the same transaction is recorded twice, on both the debit and credit sides.
7. Compensating errors: two or more errors on opposite sides that cancel out and are equal in amount.