Day: September 15, 2022

Lucy Ltd has calculated a draft net profit of £56,750.

They then discover the following mistakes:

Discounts Received of £580 and Discounts Allowed of £665 have been recorded on the wrong sides of the respective Discounts Received and Allowed accounts.

What is the corrected draft net profit for Lucy Ltd?

Select ONE answer:

1. £56,580
2. £56,665
3. £56,835
4. £56 920

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 – £56,750 + (£580 * 2) – (£665 * 2)
2. Not correct
3. Not correct
4. Not correct

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