Question 1

A shopkeeper suspects cash has been stolen from the till. Opening cash balance was $200. Cash sales banked during the week were $4,500. Wages paid in cash from the till were $300. Closing cash balance is $150. Total cash sales recorded on the till roll were $5,000. How much cash is missing?

Accepted Answer

Create a cash account (T-account). Put opening balance and receipts on the debit side. Put payments and closing balance on the credit side. The balancing figure is the stolen cash.

Question 2

What mistakes do candidates make on this ACCA question?

Accepted Answer

Forgetting to account for the cash paid out for wages before banking.

A shopkeeper suspects cash has been stolen from the till. Opening cash balance was $200. Cash sales banked during the week were $4,500. Wages paid in cash from the till were $300. Closing cash balance is $150. Total cash sales recorded on the till roll were $5,000. How much cash is missing?

How to approach this question

Full Answer

Common mistakes

Practice the full ACCA FA — Financial Accounting Practice Exam 2

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