Concept:When an entire transaction is not recorded at all in the books, it is known as an error of omission.
Explanation:In this case, both the debit and credit entries of the transaction are missing from the books.
Because no entry is made, the trial balance still balances, but the records are incomplete.
Such a mistake occurs when a transaction is completely left out from the books.
This is specifically called an error of omission, not an error of commission, principle, or compensation.
Answer:B. omission