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Forums › CIMA Forums › Control account reconciliations – guidance needed
The balance on the trade receivable control account is 57,852 and the balance of the total of the individual trade receivable is 59,152.
The difference may be due to:
A. entering a discount allowed of 650 on the debit side of the control account
Why is this the correct answer? I assume that when you debit anything in the control account, it would increase in relation to the individual trade receivable account x 2, but this is having the opposite effect.
Any help would be greatly appreciated!
Hi
as you mentioned in your post, a discount allowed debited to receivable control account should result in a higher debit balance, therefore, maybe there was a typo error in the book. I have happened to come across such mistakes, so it is not unusual