Control ac balance: 35100
ledger balance: 36500
errors:
1.credit balance of 350 was included in the list of balances as a debit balance
2. refund of 125 has not been posted to the recv. control ac
3. one page of sales daybook was undercast by 575
what is the reconciled balance?
i got the right answer by 36500-700=35800
but my control ac recon was 35100-125+575.
it shd have been 35100+125+575
i take a REFUND to mean that we are giving the entity is giving a refund to the customer thus the balance shd decrease.
why is it being added?
Ask the Tutor ACCA FA
Receivable Control Recon question
12y ago#1A refund is a repayment of cash to the customer (maybe, for example, the customer paid us too much by mistake, so we are repaying the amount overpaid).
When we receive cash we DR cash and CR receivables.
If we repay some of that cash, we CR cash and DR receivables
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