Accounting 9706 · AS & A Level · The accounting system

The accounting system — practice question

X and Y are partners and divide profits and losses equally. Y began with a current account balance of $1350 debit. The profit remaining for the year was $23{,}500. Y was entitled to: interest on capital $1200 salary $14{,}500 Y withdrew $25{,}000 during the year. What was the closing balance on Y’s current account at the end of the year?

  • A$1100 credit
  • B$1100 debit
  • C$3800 credit
  • D$3800 debit

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