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  1. avatar says

    Sir! Chapter 16 Test papers QNo:4 reads as follows Opening balance of the payable ledger is $438900. There was a contra entry $980. The total of Purchase return journal was undercast by $1000 and an invoice of $4344 was posted as $4434. What is the amount to be reported as accounts payable.

    The answer is said to be $437830 (D). but i disagree with it since there are purchase returns that has not been accounted for. I feel the answer is A ($4368300 That is Credit $438900 and debit $ 980 contra, Debit purchase return $1000 and debit the amount to correct the invoice $90 and the difference $436830. Kindly help.

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