Credit balance for Bank Loan (video below)
The following balances have been extracted from the nominal ledger accounts of XYZ Company, but the figure for bank loan is unknown. There are no other accounts in the main ledger.
$
Payables 6,750
Capital 16,500
Purchases 40,000
Sales 75,000
Other expenses 27,500
Receivables 8,250
Purchase returns 500
Non-current assets 30,000
Cash in bank 4,500
Bank loan Unknown
What is the credit balance on the bank loan account?
Answer
| Debit balances | $ | $ |
| Purchases | 40,000 | |
| Non-current assets | 30,000 | |
| Receivables | 8,250 | |
| Other expenses | 27,500 | |
| Bank | 4,500 | |
| 110,250 | ||
| Credit balances | ||
| Payables | 6,750 | |
| Capital | 16,500 | |
| Sales | 75,000 | |
| Purchase returns | 500 | |
| 98,750 | ||
| Bank loan (credit balance) | 11,500 |
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