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On 18 January 2021, SA Traders, a debtor of Africa Traders, did an electronic funds payment of R20 000 to Africa Traders to settle its account. Africa Traders is not a registered VAT vendor. Which account will be debited, and which account will be credited in the general ledger of Africa Traders? Select one: a. Debit the Bank account with R20 000, and credit the Sales account with R20 000. b. Debit the Sales account with R20 000, and credit the Bank account with R20 000. c. Debit the Bank account with R20 000, and credit the Trade receivables control account with R20 000. d. Debit the Trade receivables control account with R20 000, and credit the Bank account with R20 000.

On 18 January 2021, SA Traders, a debtor of Africa Traders, did an electronic funds payment of R20 000 to Africa Traders to settle its account. Africa Traders is not a registered VAT vendor. Which account will be debited, and which account will be credited in the general ledger of Africa Traders? Select one: a. Debit the Bank account with R20 000, and credit the Sales account with R20 000. b. Debit the Sales account with R20 000, and credit the Bank account with R20 000. c. Debit the Bank account with R20 000, and credit the Trade receivables control account with R20 000. d. Debit the Trade receivables control account with R20 000, and credit the Bank account with R20 000.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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On 18 January 2021, SA Traders, a debtor of Africa Traders, did an electronic funds payment of R20 000 to Africa Traders to settle its account. Africa Traders is not a registered VAT vendor.

Which account will be debited, and which account will be credited in the general ledger of Africa Traders?

Select one:
a.

Debit the Bank account with R20 000, and credit the Sales account with R20 000.

b.

Debit the Sales account with R20 000, and credit the Bank account with R20 000.

c.

Debit the Bank account with R20 000, and credit the Trade receivables control account with R20 000.

d.

Debit the Trade receivables control account with R20 000, and credit the Bank account with R20 000.

 

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