Accounting 0452 · IGCSE · The trial balance

The trial balance — practice question

Ann trades as a trader. On 1 April, the account for Cindy in Ann’s ledger was showing a credit balance of $520. The following transactions occurred in April. April 2: Ann sent back goods worth $30 to Cindy. April 14: Ann purchased goods worth $210 from Cindy and settled the amount in cash. Which statement about the balance of Cindy’s account in Ann’s ledger on 30 April is correct?

  • AAnn owes Cindy $490.
  • BAnn owes Cindy $700.
  • CCindy owes Ann $490.
  • DCindy owes Ann $700.

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