• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

June 2025 ACCA Exams

How was your exam? Comments & Instant poll >>

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for September 2025 exams.
Get your discount code >>

CONTROL ACCOUNT RECONCILIATION

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FA – FIA FFA › CONTROL ACCOUNT RECONCILIATION

  • This topic has 3 replies, 2 voices, and was last updated 4 years ago by John Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • July 27, 2020 at 1:39 pm #578188
    Anonymous
    Inactive
    • Topics: 1
    • Replies: 1
    • ☆

    The purchases day book of Arbroath has been undercast by $500, and the sales day book
    has been overcast by $700. Arbroath maintains payables and receivables ledger control
    accounts as part of the double-entry bookkeeping system.

    The effect of correcting these errors will be to:
    A Make adjustments to the ledger balances of the individual customers and suppliers,
    with no effect on profit
    B Make adjustments to the ledger balances of the individual customers and suppliers,
    with a decrease in profit of $1,200
    C Make adjustments to the control accounts, with no effect on profit
    D Make adjustments to the control accounts, with a decrease in profit of $1,200
    ANS D
    (KAPLAN EXAM KIT )
    Can you please tell me why profit is decrease by $1,200?
    thank you in advance

    July 27, 2020 at 2:28 pm #578212
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54684
    • ☆☆☆☆☆

    If the sales day book has been over added then sales are recorded higher than they should be.
    If the purchase day book is under added then purchases are recorded lower than the should be.

    We correct by reducing sales which means lower profit, and by increasing purchases which again means lower profit.

    July 28, 2020 at 4:17 am #578436
    Anonymous
    Inactive
    • Topics: 1
    • Replies: 1
    • ☆

    thanks.

    July 28, 2020 at 9:12 am #578456
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54684
    • ☆☆☆☆☆

    You are welcome 🙂

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • The topic ‘CONTROL ACCOUNT RECONCILIATION’ is closed to new replies.

Primary Sidebar

Donate
If you have benefited from our materials, please donate

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE 2025 Exams

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • John Moffat on Activity Based Costing part 1 – ACCA Performance Management (PM)
  • Shabi on Activity Based Costing part 1 – ACCA Performance Management (PM)
  • Ark1 on Variance Analysis (part 4) – ACCA Management Accounting (MA)
  • EricObi on IAS 37 – Best estimate – ACCA Financial Reporting (FR)
  • Ken Garrett on The nature and structure of organisations – ACCA Paper BT

Copyright © 2025 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in