Accounting 9706 · AS & A Level · Reconciliation and verification

Reconciliation and verification — practice question

A business recorded a draft profit for the year of $84000$. The following mistakes were later found. 1 Discounts received of $2500$ had been entered on the debit side of the discounts allowed account. 2 Wages of $9000$ had been left out entirely. 3 Sales returns of $8000$ had been posted to the debit side of the purchases returns account. What is the adjusted profit for the year?

  • A$64000$
  • B$72000$
  • C$77500$
  • D$80000$

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