The following receivables control account has been prepared for Alex Ltd:
RECEIVABLES CONTROL ACCOUNT
DR Balance b/d 1 January £318,650
DR Credit sales £157,780
DR Cash sales £84,260
DR Discounts allowed to credit customers £1,240
DR Totals £561,930
CR Cash from credit customers £181,140
CR Refunds to credit customers £280
CR Irrecoverable debts written off £1,390
CR Balance c/d 31 January £379,120
CR Totals £561,930
What should the closing balance at 31 January 2024 be after correcting the errors in the account?
Select ONE answer:
- £292,380
- £295,420
- £292,940
- £295,720
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 3
- Not correct
- Not correct
- Correct – –> DR £318,640 + £157,780 + £80 = £476,710 less CR £181,140 – £1,240 – £1,390 = Balance c/d 31/1/2024 £292,940
- Not correct
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