Question on: JAMB Accounting - 2022
The purchase ledger control account of a company had an opening balance of N45,600 credit and closing balance of N72,600 credit. The company made payments of 437,000 to credit suppliers during the period: and had discount received of N18,600 on this account. What were the credit purchase for the period?
N509,600
N536,600
N536,600
N418,400
To find the credit purchases for the period, you need to calculate the change in the purchase ledger control account balance during the period.
1. Start with the opening balance: N45,600 (credit).
2. Add the payments made to credit suppliers during the period: N437,000 (credit).
3. Subtract the discount received on this account: N18,600 (credit).
4. Add the closing balance: N72,600 (credit).
Now, calculate:
N45,600 (opening balance) + N437,000 (payments made) - N18,600 (discount received) + N72,600 (closing balance) = N536,600
So, the total credit purchases for the period were N536,600.
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