WAEC Financial Accounting 2018 Question 34

Question 34

Incomplete Records

Use the following information to answer questions 33 and 34. (01/01/2016 / 31/12/2016)
Trade debtors: D 80,000 / D 100,000
Trade creditors: D 30,000 / D 40,000
Stock: D 70,000 / D 90,000
Cheques received from trade debtors in 2016: D 350,000
Payments made to trade creditors in 2016: D 220,000
Credit purchases for 2016 is

  1. A.D 290,000.
  2. B.D 230,000.
  3. C.D 220,000.
  4. D.D 210,000.
Show the answer and explanation

Answer: B (D 230,000.)

Explanation

220,000 + 40,000 − 30,000 = D 230,000.