FSTP Help

JakeRJakeR BromsgrovePosts: 10Registered
Hi Guys

How do you get to the answer for the following question

On 1 July 20X2 a sole traders bank account showed an overdraft of £662. During the year ended 30 June 20X3 deposits into
the account totaled £50122 and withdrawals from the account were £48116. The closing balance is?

I got the answer to be £1344 in credit but when i try to do a T account to make sure it is correct it is carried down on the credit side which means it is overdrawn.

Can someone explain how to solve it.

Comments

  • KoopaCooperKoopaCooper London, UKPosts: 84AAT Student
    edited November 2015
    OK, I'm not sure if I'll be able to do this in a text post, but I'll try to do a T-account here, hope it works...the table borders aren't working properly, hope it's ok. :)
    Debit|Credit
    30 June 20X3 Deposits £50122|1 July 20X2 Bal b/d £662
    |30 June 20X3 Withdrawals £48116
    |30 June 20X3 Bal c/d £1344
    Total £50122|Total £50122
    1 July 20X3 Bal b/d £1344|
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  • JakeRJakeR BromsgrovePosts: 10Registered
    oh ok i was not extending the account after i just saw that it finished on the credit side so i was getting a bit confused. That clears it up. Thanks
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