Gce Model Questions Vol1 2021 Financial Accounting Question 26
Practice objective / multiple choice question 26 from the 2021 Gce Model Questions Vol1 Financial Accounting examination.
The trial balance of a sole trader at year‑end shows the following debit balances: Purchases £18,500, Opening Stock £5,200, Closing Stock £6,300, Carriage Inwards £1,200, Carriage Outwards £800, Rent £4,000, Salaries £6,500, Utilities £1,500, Suspense Account £700. The credit side shows Sales £45,000. The total debits equal £44,700 and total credits £45,000, so the credits exceed debits by £300. Assuming the discrepancy is due to Carriage Inwards being understated, determine the corrected amount of Carriage Inwards and calculate the net profit for the year.
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About This Question
This is Gce Model Questions Vol1 2021 Financial Accounting Question 26. It is one of the objective questions from the 2021 Gce Model Questions Vol1 Financial Accounting examination.
Difficulty level: Medium .
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