accounting-journal entries and produce revised trial balance?

Question

anyone please help .I have got a invoice for £709.45 net 124.15 vat ,833.90 gross this invoice was correctly entered in business machines account but incorrectly posted including vat to purchases account.

Answer 1

I don't really follow your question but I'll try.

Presumably what you did was purchased business machines (i.e. fixed assets) but you:
Dr Purchases 833.60
Cr A/cs payable 833.60

The way I look at it, the only thing you need to do now is:
Dr Fixed assets 709.45
Dr Vat recoverable 124.15
Cr Purchases 833.60

If I've misunderstood you, pls edit your question and I'll edit my answer.

Answer 2

Additional information is required. Are you using a program like Quickbooks, or are you just trying to fix the paper books?

If you are just working with paper, then here is the text found in the Paradigm College Accounting text:

"...when a posting is made to the wrong account, you should make a correcting entry. For example, a $75 payment for a repair bill was journalized correctly as a debit to Repairs Expense, and a credit to Cash, But the entry was posted as a debit to Rent Expense and a credit to Cash." The graphic table following in the text shows an entry debiting repairs expense in the amount of $75, and crediting rent expense in the same amount, in effect removing the entry from the inappropriate account and placing it in the proper account. A comment was added explaining the reason for the entry.

To correct the posting error, you need to remove the amount by reversing it in a new posting entry, which you will add the following note to: to correct posting error, and give specifics.

Consider what steps you took when you made the incorrect posting. In your new entry, reverse the steps, and place the entry where it belongs. Because I don't have your chart of accounts here in front of me, I cannot determine the exact accounts because of the hasty way in which your question has been written, and I am not personally familiar with the term "vat."

I apologize if the answer is incomplete or hard to follow.

Keep in mind that it takes more effort to fix a posting error, than it does a Journal entry, because a journal entry error just needs a line drawn through the error, and a correction made on the same line.

Perhaps someone else has a link that will help.

Answer 3

Do a reverse entry for the whole transaction then re-enter it correctly. Don't just reverse out the erroneous entry as it will make it difficult for auditors to keep track of it.
Make a comment for the reverse entry of VAT posted incorrectly - Contra transaction (wheatever the reference is) then re-post with VAT done correctly & mention it is a corrected posting.

Answer 4

1st transaction - Dr loan account £367.50, Cr bank £367.50 2nd transaction - Dr expense account £48.50, this is probably purchases as you have understated this expense due to the discount. Cr Suppliers account £48.50 3rd transaction - pay the supplier the discount disallowed of £48.50 Dr creditor £48.50 Cr bank £48.50 Is your company VAT registered? If so is the supplier? If yes to both then there will be VAT in the £48.50 so you should revise transaction 2 to be:- Dr Expense account 41.28 DR VAT control 7.22 Cr Suppliers account 48.50