Which of the following error is an error of principle
A5,000 incurred on installation of new plant debited to travelling expenses A/c
B500 paid for wages debited to salary A/c
C500 being purchase of raw material debited to purchase A/c ` 50
D5,000 received from Sham credited to Ram A/c
Correct answer
A. 5,000 incurred on installation of new plant debited to travelling expenses A/c
Explanation
5,000 incurred on installation of new plant debited to travelling expenses A/c is the correct answer. Review the question and compare it with the other choices to remember this fact for future exams.