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WAEC Accounting 2013 Paper

Question : 20

Total: 48

\text{1/6/2011} \text{30/5/2012}

D D

\begin{array}{c c c} \text{---} \text{Creditor} & 2,495 & 2,285 \end{array}

\text{Debtors}\quad 1,215\quad 2,145

\text{Cash paid to creditors} - 32,170

\text{Cash received from customers} - 40,650

\begin{aligned} \text{Goods returned to suppliers} & - & 500 \end{aligned}

Sales for the year is

Solution:

Concept:

Sales for the year are calculated using the Debtors Account relationship, which links opening debtors, cash received, and closing debtors.

Explanation:

Cash received from customers adds to sales, while any increase in debtors represents credit sales not yet collected.

So, Sales = Cash received from customers + Closing Debtors − Opening Debtors.

Closing Debtors =

2,145

Opening Debtors =

1,215

Change in Debtors =

2,145 - 1,215 = 930

Cash received from customers =

40,650

Therefore, Sales =

40,650 + 930 = 41,580

Answer:

D41,580

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