CIMA Exam CIMAPRA17-BA3-1 Topic 1 Question 69 Discussion

Refer to the exhibit.

The following book-keeping errors were discovered:

1. A cheque for 900 received from a receivable, after deduction of 10% cash discount, had been correctly entered in the bank account and discounts allowed accounts, but only the actual amount received had been entered in the receivable's account

2. An invoice for 940, including VAT at 17.5%, had been correctly recorded in the purchases and VAT accounts, but only the net goods value had been entered into the payable's account.

Which of the following options provides the entries necessary to correct the above errors?

The answer is: