Post Utme Abu 2023 Accounting Question 31

Practice objective / multiple choice question 31 from the 2023 Post Utme Abu Accounting examination.

Post Utme Abu 2023 Accounting Objective / Multiple Choice
Question 31 POST_UTME_ABU • 2023 • ACCOUNTING • objective

A company's trial balance shows a debit balance of ₦15,000 in the account 'Rent Received'. However, the company's accounting records show that the rent was actually paid to the landlord. What is the correct treatment of this error?

Answer Options

A. Debit the 'Rent Received' account and credit the 'Rent Paid' account.
Correct Answer B. Credit the 'Rent Received' account and debit the 'Rent Paid' account.
C. Debit the 'Rent Received' account and credit the 'Cash' account.
D. Credit the 'Rent Received' account and debit the 'Accrued Expenses' account.
Correct Answer
B
Correct Option:
Credit the 'Rent Received' account and debit the 'Rent Paid' account.

About This Question

This is Post Utme Abu 2023 Accounting Question 31. It is one of the objective questions from the 2023 Post Utme Abu Accounting examination.

View More Post Utme Abu 2023 Accounting Questions More Post Utme Abu Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support