Question 17
Cash BookCapital ₦12 700; Debtors ₦4 000; Sales ₦2 400; Purchases ₦7 100; Stationery ₦1 900; Wages ₦1 230.
The owner wishes to maintain an amount equal to ¾ of capital as drawings.
What is the amount withdrawn?
- A.N9525
- B.N9000
- C.N7100
- D.N6400
Show the answer and explanation
Answer: A (N9525)
Explanation
Drawings = ¾ × 12 700 = ₦9 525.