Day: August 22, 2020

Lucy issued an invoice, a credit note and a receipt.

What has happened?

Select ONE answer:

1. Lucy purchased goods and paid the supplier immediately.
2. Lucy purchased goods on credit, made returns to the supplier and paid the balance due.
3. Lucy sold goods and received immediate payment from the customer.
4. Lucy sold goods on credit, received returns from the customer and received the balance due.

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 1

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

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