WAEC Accounting 2016 Paper

Concept:Total purchases equal cash purchases plus credit purchases.Explanation:First, calculate credit purchases using the creditors account relationship.Opening creditors plus credit purchases equal cash paid to creditors, discount received, and closing creditors together.So, credit purchases is:$$\text{Credit purchases} = \text{Closing creditors} + \text{Cash paid to creditors} + \text{Discount received} - \text{Opening creditors}$$Substitute the given values:$$\text{Credit purchases} = 3{,}117 + 127{,}345 + 4{,}211 - 2{,}473$$$$\text{Credit purchases} = 134{,}673 - 2{,}473 = 132{,}200$$Now, add cash purchases to find total purchases:$$\text{Total purchases} = \text{Cash purchases} + \text{Credit purchases}$$$$\text{Total purchases} = 29{,}641 + 132{,}200 = 161{,}841$$Answer:A. D 161,841