O-LevelAccountingAccounting procedures7707/11 · May/June 2014 · Q121 Mark

Andrew issued an invoice to Edward for $1000. After receiving 50% of the invoice value from Edward, Andrew decided to write off the amount outstanding. Which entries would Andrew make to write off the amount outstanding?

Aaccount to be debited: bad debts $500, account to be credited: Edward $500

Baccount to be debited: bad debts $1000, account to be credited: Edward $1000

Caccount to be debited: Edward $500, account to be credited: bad debts $500

Daccount to be debited: Edward $1000, account to be credited: bad debts $1000

✓ Correct answer

A: account to be debited: bad debts $500, account to be credited: Edward $500

Oracle Prep sorts past-paper questions by topic, so you can drill Accounting procedures and see which topics are most likely to come up next.

Topic: Accounting procedures, O-Level Accounting (syllabus 7707). Multiple choice, 1 mark.
Source: O-Level Accounting, May/June 2014 Paper 1 Variant 1, question 12.

Questions and mark schemes are from past examination papers and remain the copyright of the exam board. How Oracle Prep builds its content