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Howard calculated his net profit for the year as $75,886, but is not sure how to treat the $90 (debit) balance on the suspense account.
Howard calculated his net profit for the year as $75,886, but is not sure how to treat the $90 (debit) balance on the suspense account. Control accounts are not maintained. On reviewing Howard's records you note that: (i) a cash sale for $900 was recorded in the cash book, but no other entry was made (ii) the purchase daybook was undercast by $900 (iii) a cheque paid to a supplier was correctly entered in the cash book as $540, but $450 was posted to the supplier's account (iv) a cheque received from a customer for $11,700 was accepted in full settlement of a balance of $11,790. No entries were made for the discount. (v) travel expenses include a payment of $405 for Howard's holiday What is Howard's corrected net profit figure? Exclude \$comma and space from your answer [Example $34,600 should be entered as 34600]
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