An error of omission is one where a transaction has not been recorded in the books of account either wholly or partially. In the former case, it will not be detected by the trial balance, though it may be apparent in some cases, e.g., the rent for the last month of the year might not have been recorded in the books of account as it had not been paid to the landlord. In case the transaction has been partially recorded, e.g., if one aspect of the purchases or sales had been entered in the books, it will affect the trial balance and ultimately the profit and loss account.
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