Trial balance of Kailash did not agree. He put the difference to suspense account. The following errors were discovered :
(i) Goods withdrawn by Kailash for personal use 500 were not recorded in the books.
(ii) Discount allowed to Ramesh 60 on receiving 2,040 from him was not recorded in the books.
(iii) Discount received from Rohan 50 on paying 3,250 to him was not posted at all.
(iv) 700 received from Khalil, a debtor, whose account had earlier been written-off as bad, were credited to his personal account.
(v) Cash received from Govil, a debtor, 5,000 was posted to his account as 500.
(vi) Goods returned to Mahesh 700 were posted to his account as 70.
(vii) Bill receivable from Narayan 1,000 was dishonoured and wrongly debited to allowances account as 10,000.
Give journal entries to rectify the above errors and prepare suspense account to ascertain the amount of difference in trial balance.

Explanation