Accounting for IGCSE & O level - Accounting Procedures (Section 20 - No. 30)
What is the impact on the Purchases Ledger Control Account when there is an interest charge on overdue trade payables?
The account is debited.
The account is credited.
The account balance remains unchanged.
The account is closed.
Explanation
Interest charges on overdue trade payables would increase the amount owed to the supplier, which would be recorded as a debit in the Purchases Ledger Control Account.
Comments (0)
