Which of the following statements is CORRECT?
A)If an error in a journal entry is discovered before the entry is posted to the general ledger, the entry can simply be erased and replaced with the correct journal entry.
B)If an error in a journal entry is discovered before the entry is posted to the general ledger, the error in the entry should be crossed out and the correct data written above it.
C)If an error in a journal entry is discovered before the entry is posted to the general ledger, a journal entry should be made to correct the erroneous entry.
D)All errors made in journal entries should be corrected by the preparation of a correcting journal entry.

Question

Quizplus · Accepted Answer

When an error in a journal entry is discovered before it is posted to the general ledger, the best practice is to cross out the error and write the correct information above it. This maintains the integrity of the original document and ensures that there is a clear record of the correction.

Which of the Following Statements Is CORRECT