Post Utme Achievers University 2021 Commerce Question 35

Practice objective / multiple choice question 35 from the 2021 Post Utme Achievers University Commerce examination.

Post Utme Achievers University 2021 Commerce Objective / Multiple Choice
Question 35 POST_UTME_ACHIEVERS_UNIVERSITY • 2021 • COMMERCE • objective

A company's financial statements show a net loss of ₦2 million in 2020. However, the company's cash balance increased by ₦1 million during the same period. What is the most likely explanation for this discrepancy?

Answer Options

A. The company sold assets to raise cash.
B. The company borrowed money to finance its operations.
Correct Answer C. The company had a decrease in accounts payable.
D. The company had a decrease in accounts receivable.
Correct Answer
C
Correct Option:
The company had a decrease in accounts payable.

About This Question

This is Post Utme Achievers University 2021 Commerce Question 35. It is one of the objective questions from the 2021 Post Utme Achievers University Commerce examination.

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