SUSPENSE ACCOUNT
It is a temporary account opened when the trial balance does not balance. Its balance is
the difference between the Dr side and the Cr side of the trial balance.
The difference in trial balance is therefore entered in the suspense account.
Errors are then corrected. After all errors have been corrected, the suspense will no longer
have a balance. It will therefore be closed.
Dr Cr
Title of account
$ $
Revenue 1000
Purchases 600
Cash 300
Expenses 50
950 1000
Dr Cr
Title of account
$ $
Revenue 1000
Purchases 600
Cash 300
Expenses 50
Suspense 50
1000 1000
Dr Suspense account Cr
Date Details Amount Date Details Amount
Balance b/d 50
Dr Cr
Title of account
$ $
Revenue 2000
Purchases 1400
Bank 700
Vehicle 200
2300 2000
It is a temporary account opened when the trial balance does not balance. Its balance is
the difference between the Dr side and the Cr side of the trial balance.
The difference in trial balance is therefore entered in the suspense account.
Errors are then corrected. After all errors have been corrected, the suspense will no longer
have a balance. It will therefore be closed.
Dr Cr
Title of account
$ $
Revenue 1000
Purchases 600
Cash 300
Expenses 50
950 1000
Dr Cr
Title of account
$ $
Revenue 1000
Purchases 600
Cash 300
Expenses 50
Suspense 50
1000 1000
Dr Suspense account Cr
Date Details Amount Date Details Amount
Balance b/d 50
Dr Cr
Title of account
$ $
Revenue 2000
Purchases 1400
Bank 700
Vehicle 200
2300 2000
