Post Utme Achievers University 2021 Accounting Question 5

Practice objective / multiple choice question 5 from the 2021 Post Utme Achievers University Accounting examination.

Post Utme Achievers University 2021 Accounting Objective / Multiple Choice
Question 5 POST_UTME_ACHIEVERS_UNIVERSITY • 2021 • ACCOUNTING • objective

A company's bank reconciliation statement shows a difference of ₦18,000 between the cash book balance and the bank statement balance. The cash book balance is ₦60,000 and the bank statement balance is ₦78,000. What is the correct explanation for this difference?

Answer Options

A. ₦18,000 is due to a bank error
B. ₦18,000 is due to a cash book error
C. ₦18,000 is due to a combination of bank and cash book errors
Correct Answer D. ₦18,000 is due to a deposit in transit
Correct Answer
D
Correct Option:
₦18,000 is due to a deposit in transit

About This Question

This is Post Utme Achievers University 2021 Accounting Question 5. It is one of the objective questions from the 2021 Post Utme Achievers University Accounting examination.

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