CIMA BA3 · Chapter 11 · Question 3 of 12
A shop owner banks takings after paying wages and her own drawings in cash. Cash in hand was $400 at the start of the year and $600 at the end. Cash takings were $62,000, amounts banked were $48,500 and wages paid in cash were $8,200. What were her cash drawings?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: A) $5,100
Explanation
Cash available = opening $400 + takings $62,000 = $62,400. Less bankings $48,500, wages $8,200 and closing cash $600. Drawings = $62,400 - $48,500 - $8,200 - $600 = $5,100.
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