The payables ledger control account below contains a number of errors:
All items relate to credit purchases.
What should the closing balance be when all the errors are corrected?
| $ | $ | ||
| Opening balance (amounts owed to suppliers) | 500,000 | Purchases | 3,296,000 |
| Cash paid to suppliers | 3,200,000 | Contras against receivables | 80,000 |
| Purchases returns | 40,000 | Discounts received | 3,000 |
| Refunds received from suppliers | 9,000 | Closing balance | 370,000 |
| 3,749,000 | 3,749,000 |
Suggested solutions:
| $ | $ | ||
| Cash paid to suppliers | 3,200,000 | Opening balance (amounts owed to suppliers) | 500,000 |
| Purchases returns | 40,000 | Refunds received from suppliers | 9,000 |
| Contras against receivables | 80,000 | Purchases | 3,296,000 |
| Discounts received | 3,000 | ||
| 3,323,000 | 3,805,000 | ||
| closing balance | 482,000 |
Answer: $482,000 (CREDIT BALANCE)
To do the same topic again in ACCA F3 Payables Control Account
To do another topic in ACCA F3
2015 ACCA F3 Payables Control Account