A company's chart of accounts is block coded and contains the following information: Accounts payable (201), Wages payable (204), Interest payable (207). The account number for "accounts receivable" is therefore likely to be:

Question

Quizplus · Accepted Answer

Block coding often groups similar accounts together. Since "accounts payable" is 201, it suggests that liabilities are in the 200 range. "Accounts receivable" is an asset, likely in the 100 range, making 102 a plausible choice.

A Company's Chart of Accounts Is Block Coded and Contains