Accounting 9706 · AS & A Level · Preparation of financial statements

Preparation of financial statements — practice question

A sole trader did not maintain proper accounting records during the first year of trading. The information below is given: cash received from customers $70000 trade receivables $4000 cash paid to suppliers $65000 trade payables $2000 closing inventory $20000 expenses paid $3000 Calculate the profit for the year.

  • A$24000
  • B$26000
  • C$27000
  • D$28000

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