Accounting 0452 · IGCSE · Other payables and other receivables

Other payables and other receivables — practice question

At the beginning of his first year of trading, Jimmy paid $9600 for insurance covering 20 months. What would the balance carried down look like in his insurance ledger account at the end of the first year of trading?

  • A$3840 on the credit side
  • B$3840 on the debit side
  • C$5760 on the credit side
  • D$5760 on the debit side

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