- 1 Marks
Question
The balance of N1,840,000 in the receivables control account represents:
A. Amount necessary to balance the account
B. Amount due to the customers
C. Amount due from the customers
D. Amount due from cash sales
E. Amount due from sales
Answer
Answer:
C. Amount due from the customers
Explanation:
The balance of N1,840,000 represents the total amount owed to the company by its customers. This is because receivables control accounts reflect the amounts due from credit sales. Hence, the balance indicates the outstanding debt owed by customers.
- Tags: Balance, Control Accounts, Receivables
- Level: Level 1
- Topic: Control Accounts
- Series: MAY 2016
- Uploader: Kwame Aikins