Accounting 0452 · IGCSE · Other payables and other receivables

Other payables and other receivables — practice question

At the close of his financial year on 31 August 2020, a trader had insurance prepaid. How would this be shown in the insurance account and in the statement of financial position at 31 August 2020?

  • Acredit balance carried down; current asset
  • Bcredit balance carried down; current liability
  • Cdebit balance carried down; current asset
  • Ddebit balance carried down; current liability

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