# IGCSE Accounting Paper-1: Specimen Questions with Answers 108 - 110 of 214

## Passage

Susan’s statement was as follows:

WESTERN COMMERCIAL COMPANY

STATEMENT OF ACCOUNT

 Date Particular Dr \$ Cr \$ Balance \$ September 1 Balance b/f 4000.00 4000.00 September 7 Sales – invoice 401 66.50 4066.50 September 10 Sales – invoice 402 117.00 4183.5 September 15 Sales return – credit note 39 17.50 4166 September 19 Bank –Susan 3920.00 246 September 30 Balance c/f 246

Terms: 2 % discount for settlement within 20 days.

## Question number: 108 (3 of 5 Based on Passage) Show Passage

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### Explanation

The amount paid by her is correct because she paid it within the time limit

Provided by the supplier.

The discount will be allowed to the customer when they paid their due amount within the credit period. Susan also paid the amount within the credit period of twenty days.

## Question number: 109 (4 of 5 Based on Passage) Show Passage

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### Write in Short

Susan desired to avail the advantage of each month of the discount terms which is offered by the Western Commercial Company.

Explain how Susan ensures about the discount on payment of her credit?

### Explanation

She should pay the amount with in twenty one days

The customers have to pay their dues within their credit period in order to enjoy or avail the discount on their payment. The credit period is allowed to the customer for prompt payment of their dues.

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