Trial balance of Madan did not agree and he put the difference to suspense account. He discovered the following errors:
(a) Sales return book overcast by 800.
(b) Purchases return to Sahu 2,000 were not posted.
(c) Goods purchased on credit from Narula 4,000 though taken into stock, but no entry was passed in the books.
(d) Installation charges on new machinery purchased 500 were debited to sundry expenses account as 50.
(e) Rent paid for residential accommodation of madam (the proprietor) 1,400 was debited to Rent account as 1,000.
Rectify the errors and prepare suspense account to ascertain the difference in trial balance.

Explanation

Difference in trial balance 2,050 excess credit