Question

The company bank account currently has a positive balance of R2195,00. You have to refund five clients an amount of R665,00 each, due to a sales discount not being applied to their recent purchases. What will the balance be on the company account after the refunds have been paid?

Answer 1

Explanation:

The total amount to be refunded to the five clients is:

5 x R665,00 = R3325,00

To find the balance on the company account after the refunds have been paid, we need to subtract the total amount refunded from the current balance:

R2195,00 - R3325,00 = -R1130,00

Therefore, the balance on the company account will be negative and equal to -R1130,00 after the refunds have been paid.