JAMB Accounts Principles of Accounts 2023 Paper

Concept:The credit side of a purchase ledger control account records every item that increases the total amount owed to suppliers.Explanation:Purchases IV, meaning credit purchases, increase the amount payable to suppliers, so they are entered on the credit side.Cash refunds I received from a supplier reverse an earlier overpayment, so they are also credited to the supplier account.A dishonoured cheque III cancels a payment previously made to a supplier, thereby restoring the debt; hence it appears on the credit side.A debit note issued II is used when goods are returned to a supplier, and it reduces the amount owed, so it is placed on the debit side, not the credit side.Answer:The correct credit-side items are I, III and IV.This combination is not listed among options A–D, so the options as written contain an error.