Explanation
If a transaction is so recorded that the account to be debited is credited and the account to be credited is debited, both with the correct amount, the debit and credit entries in the ledger would be equal and the trial balance will remain unaffected.
Effect on accounts
The account to be debited is credited and the account to be credited is debited.
Rectification entry
The correct entry should be made with twice the amount to erase the effect of the incorrect entry and to establish the correct entry.
Example
Interest charged by the bank, $148, was entered in the debit side of the cash book and posted to the credit of Interest Account.
