Accounting Multiple Choice Question – 8 March 2020

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

Accounting

Before considering bad debts. the balance on a firm‘s debtors control account is £1,000 (debit) and the balance on its provision for bad debts account is £25 (credit).

Subsequently, a bad debt of £50 is written off.

The balance on the debtors control account in the nominal (general) ledger after writing off the above bad debt is?

Select ONE answer:

  1. £8,600
  2. £9,600
  3. £12,000
  4. £13,600

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 4

  1. Not correct
  2. Not correct
  3. Not correct
  4. Correct

Answer 4:

Creditors
Dr Discount Received £1,000
Dr Returns Outwards £6,000
Dr Bank £39,000
Dr Debtors £1,000
Dr Balance c/d £13,600
Dr Total £60,600
Cr Balance b/d £4,600
Cr Purchases £54,000
Cr Bank £2,000
Cr Total £60,600

 

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

Author: stuart001uk2014

Referral marketing, business, economics and accounting s​pecialist & corporate mentor

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s