……………………31/12/08………..31/12/09

Furniture and fittings..N21 000,…………N28 000
Office equipment……..N9 800,………….N13 200
Debtors……………..N6 800,………….N5 200
Creditors……………N4 900,………….N5 100
Cash at bank…………N7 000,………….N4 600
Accrued electricity bills……………….N1 200

Monthly drawings average N330.

A. N5 000
B. N3 960
C. N1 040
D. N8 960

Correct Answer:

Option D – N8 960

SEE ALSO  The accounting convention which stipulates that money or goods taken from the business by the owner for personal use should be treated as deductions from capital is?

Copyright warnings! Do not copy.