If errors occur in the recording process they
A) should be corrected as adjustments at the end of the period.
B) should be corrected as soon as they are discovered.
C) should be corrected when preparing closing entries.
D) cannot be corrected until the next accounting period.

Question

Quizplus · Accepted Answer

Errors should be corrected as soon as they are discovered in order to maintain accurate and reliable financial records. Waiting until the end of the period or until preparing closing entries may result in further complications and inaccuracies. It is important to correct errors promptly to prevent them from affecting future transactions and financial statements. Correcting errors in the next accounting period may also result in violations of the matching principle and other accounting principles.

If Errors Occur in the Recording Process They