Gary is both a customer and a supplier to Leroy. On 28 June Leroy’s account in Gary’s purchases ledger had a credit balance of $275, and his account in Gary’s sales ledger had a debit balance of $140. A contra entry was made to set the balance of one account against the balance of the other account.

What entry will be made in the control accounts prepared on 30 June?

Transcribed Image Text:

Debited Credited A purchases ledger control account 135 sales ledger control account 135 B purchases ledger control account 140 sales ledger control account 140 C sales ledger control account 135 purchases ledger control account 135 D sales ledger control account 140 purchases ledger control account 140