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The Hawthorne Studies were conducted at the Western Electric Hawthorne Works in Chicago between 1927 and 1932 by Elton Mayo and his colleagues. They revealed that workers’ productivity was influenced by social and psychological factors (attention, group norms) rather than physical conditions alone — giving rise to the “Hawthorne Effect.”
Correct Answer: A — 1927–1932.
1. Carriage Out: Debit side too high by $90 (Correction: Credit Suspense $90).
2. Purchases Returns: Credit side (returns) too high by $100 (Correction: Debit Suspense $100).
3. Wrong Person: No effect on Suspense (Debit/Credit match).
4. Rent: Income ($350 Cr) put in Expense ($350 Dr). Total error is $700 on debit side (Correction: Credit Suspense $700).
Net correction: $90 (Cr) - $100 (Dr) + $700 (Cr) = $690 Credit. To clear this, the opening balance must have been $690 Credit.
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