Use the information below to answer the question that follows: Creditors3,0004,000Debtors___6,000Cash received from debtors___35,000cash paid to suppliers__...

Use the information below to answer the question that follows:

$\begin{array}{ccc}Creditors& 3,000& 4,000\\ Debtors& \_\_\_& 6,000\\ \text{Cash received from debtors}& \_\_\_& 35,000\\ \text{cash paid to suppliers}& \_\_\_\_& 25,000\\ \text{Discount allowed}& \_\_\_\_\_& 4,000\\ \text{Discount received}& \_\_\_\_\_& 4,200\end{array}$

What is the total purchase for the period?

Answer Details

The total purchase for the period is ₦25,000. We can determine the total purchase by looking at the amount of cash paid to suppliers, which is ₦25,000. This represents the total amount of money paid to suppliers for purchases made during the period. Discounts allowed and received do not affect the total purchase amount. They are simply adjustments made to the amount owed to suppliers based on the terms of the purchase agreement. Similarly, the amounts owed by debtors and to creditors do not provide information about the total purchases made during the period.