The following payables ledger control account contains some errors. All goods are purchased on credit. The figures are correct but the account was written up incorrectly. Hence the closing balance figure is suspected to be incorrect Payable Ledger Control Account ------------------------------------------------------------------------------------------------------- $ $ Purchases 963,200 Opening balance 384,600 Discount received 12,600 Purchases returns 17,400 Set offs 4,200 Cash paid to suppliers 988,400 Closing balance # 410,400 ________ 1,390,400 1,390,400 What is the closing balance in the PLCA after account was written up correctly? a. $376,800 b. $358,800 c. $350,400 d. $325,200
The following payables ledger control account contains some errors. All goods are purchased
on credit. The figures are correct but the account was written up incorrectly. Hence the closing
balance figure is suspected to be incorrect
Payable Ledger Control Account
-------------------------------------------------------------------------------------------------------
$ $
Purchases 963,200 Opening balance 384,600
Discount received 12,600 Purchases returns 17,400
Set offs 4,200 Cash paid to suppliers 988,400
Closing balance # 410,400 ________
1,390,400 1,390,400
What is the closing balance in the PLCA after account was written up correctly?
A Non- Profit Entity has paid Rent of $40,000 for the month of June in its Receipts and
Payment account. At the beginning of the month there was an amount of $5,000 owing,
and by the end of the month the business had prepaid $3,000.
What is the correct amount to be transferred to the Entities Income and Expenditure account?
The following transactions relate to Rashid’s electricity expense ledger account for the year
ended 30 September 2009:
$
Prepayment brought forward 550
Cash paid 5,400
Accrual carried forward 650
What amount should be charged to the income statement in the year ended 30 September 2009 for electricity?
The net income earned by a business in the year ended 31 December 2004 was $10,600.
Equity at January1 2004 was $183,400 and at 31 December 2004 equity was $169,700. The
proprietor took merchandise costing $2,800 for personal use during the year. He also
withdrew a regular amount of cash to cover his living expenses.
What is the amount of cash drawings for the year?
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