Which amounts should be written first in an adjustment table?

Correct answer: The correct effect and the amount already recorded

The governing concept of an adjustment table is comparison. Before calculating the final correction, the accountant must identify what the correct effect should have been and what effect has already been recorded in the books. These two amounts or effects are entered separately, and their difference gives the net adjustment to be posted. This sequence prevents an amount from being corrected twice or omitted. A bank branch and a customer’s name do not determine the accounting difference, while writing only shop rent is relevant only to one possible transaction and cannot be a universal first step. Therefore option A gives the complete and logically necessary information for beginning the table.