Accounting 9706 · AS & A Level · Reconciliation and verification

Reconciliation and verification — practice question

The suspense account for a business is set out below: Debit: discount allowed $150$. Credit: opening balance $100$, sales $50$. Which of the following statements are correct? 1 The total debits were $100$ below the total credits in the trial balance. 2 The sales account had been overstated by $50$. 3 The discount allowed account had been overstated by $150$.

  • A1 and 2
  • B1 only
  • C2 and 3
  • D3 only

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