Day: November 22, 2023

The correct balance on the purchases ledger control account (PLCA) is £63,000 but has been entered in the trial balance as £36,000.

The difference on the trial balance has been entered in a suspense account.

Which journal entry corrects this error?

Select ONE answer:

1. account to be debited: PLCA – £27k and account to be credited: suspense account – £27k
2. account to be debited: NIL and account to be credited: suspense account – £27k
3. account to be debited: suspense account – £27k and account to be credited: NIL
4. account to be debited: suspense account – £27k and account to be credited: PLCA – £27k

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

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