Below is the payables control account for Fela’s Creations on 31 December 2011

| March 30, 2017

Question
iCMA 43
Below is the payables control account for Fela’s Creations on 31 December 2011.

Payables control account
£ £
Total money paid 430,000 Balance b/d at 1.1.2011 90,000
Total discounts received 5,000 Total credit purchases 500,000
Balance c/d at 31.12.2011 155,000
590,000 590,000
Balance b/d at 01.01.2012 155,000

The total of the payables ledger balances as at 31 December 2011 was £159,200. There were only credit balances on the individual supplier’s accounts. Fela checked all the balances and discovered the following errors.

a) Purchases of £1,600 have been omitted from the control account, but had been correctly entered in supplier Norah’s personal account.
b) £500 of discount received from supplier Kristina for December 2011 had not been entered in the control account or in her personal account.
c) The credit side of supplier Vlad’s personal account had been undercast by £300.
d) A cash payment of £1,450 to supplier Hans had been credited to his personal account, but had been entered correctly in the PCA.

What was the correct closing balance on the payables control account at 31 December 2011?

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