Accounting 9706 · AS & A Level · The accounting system

The accounting system — practice question

Nadiya keeps control accounts within the double-entry framework of her business. The purchases ledger and sales ledger include memorandum accounts only.
(a)[3]

State three advantages of keeping control accounts.

(b)[4]

Complete the statements below to amend the accounting records for trade payables.

(c)[6]

Complete the statements below to amend the accounting records for trade receivables.

(d)[2]

Explain why contra entries may be recorded in control accounts.

Worked solution & mark scheme

This 15-mark question has a full step-by-step worked solution and mark scheme. One marking point: Verifies the arithmetical accuracy of the purchases and sales ledgers

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