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A-LevelAccountingReconciliation and verification9706/12 · Feb/Mar 2025 · Q121 Mark

A business maintains control accounts as part of the double entry. At the end of a financial period, the sales ledger control account balance of $64 200 did not agree with the total of the individual sales ledger balances of the business. The following errors were discovered. 1 An irrecoverable debt of $800, entered in the sales ledger control account, was omitted from the trade receivable account. 2 Discounts allowed of $950 were entered in the sales ledger accounts but were entered as $590 in the cash book. 3 A contra of $4100 between accounts in the sales and purchases ledgers was reversed in the control accounts. There were no further errors. What was the total of the trade receivables at the end of the period after adjustments?

A$54 840
B$55 640
C$56 360
D$59 740

✓ Correct answer

B: $55 640

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About this question

Topic
Reconciliation and verification, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source
A-Level Accounting, Feb/Mar 2025 Paper 1 Variant 2, question 12.

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