Accounting 9706 · AS & A Level · Reconciliation and verification

Reconciliation and verification — practice question

The draft profit for the year for a business was $\$84\,000$. The following errors were then found. 1 Discounts received of $\$2\,500$ had been entered on the debit side of the discounts allowed account. 2 Wages of $\$9\,000$ had been left out entirely. 3 Sales returns of $\$8\,000$ had been entered on the debit side of the purchases returns account. What is the adjusted profit for the year?

  • A$\$64\,000$
  • B$\$72\,000$
  • C$\$77\,500$
  • D$\$80\,000$

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