If a credit purchase of machinery is recorded in purchase book instead of journal proper it is an error of _______.
Principle
The correct answer is option 2. This error is known as an error of principle, which occurs when a transaction is recorded in the wrong book due to an incorrect application of accounting principles. In this case, recording a machinery purchase in the purchase book, which is meant for purchases of goods, instead of the journal proper is an error of principle.
Important Questions from Rectification of Error
Which of the following error, will be rectified through suspense account?
Which one of the following statement is not true?
Which one of the following errors affect the trial balance?
Which one of the following is not a clerical error?
Repairs of second hand machinery purchased is debited to repairs account. It is an error of
