CIMA Fundamentals of financial accounting BA3 Question # 48 Topic 5 Discussion

CIMA Fundamentals of financial accounting BA3 Question # 48 Topic 5 Discussion

BA3 Exam Topic 5 Question 48 Discussion:
Question #: 48
Topic #: 5

An organization restores its petty cash balance to £350 at the end of each month.

During October, the total expenditure column in the petty cash book was calculated as being £310, and hence the impress was restored by this amount. The analysis columns, which had been posted to the nominal ledger, totaled only £300.

This error would result in:


A.

The trial balance being £10 higher on the debit side


B.

The trial balance being £10 higher on the credit side


C.

No imbalance in the trial balance


D.

The petty cash balance being £10 lower than it should be


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