Question
From the following information supplied by X, who keeps his books on Single Entry System, you are required to calculate Total Purchases:
 
Opening balance of Bills Payable 5,000
Opening balance of Creditors 6,000
Closing balance of Bills Payable 7,000
Closing balance of Creditors 4,000
Cash paid to Creditors during the year 30,200
Bills Payable discharged during the year 8,900
Returns Outward 1,200
Cash Purchases 25,800

Answer


Total Purchases = Cash Purchases + Credit Purchases
Total Purchases = 25,800 + 40,300 = ₹ 66,100

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