Post Utme Bells University 2019 Accounting Question 4

Practice objective / multiple choice question 4 from the 2019 Post Utme Bells University Accounting examination.

Post Utme Bells University 2019 Accounting Objective / Multiple Choice
Question 4 POST_UTME_BELLS_UNIVERSITY • 2019 • ACCOUNTING • objective

A company's trading account shows a profit of ₦100,000. The company's profit and loss account shows a net profit of ₦120,000. What is the correct journal entry to record the transfer of the trading account profit to the profit and loss account?

Answer Options

Correct Answer A. Debit Trading A/c ₦100,000, Credit Profit and Loss A/c ₦100,000
B. Debit Profit and Loss A/c ₦120,000, Credit Trading A/c ₦100,000
C. Debit Trading A/c ₦100,000, Credit Profit and Loss A/c ₦120,000
D. Debit Profit and Loss A/c ₦100,000, Credit Trading A/c ₦120,000
Correct Answer
A
Correct Option:
Debit Trading A/c ₦100,000, Credit Profit and Loss A/c ₦100,000

About This Question

This is Post Utme Bells University 2019 Accounting Question 4. It is one of the objective questions from the 2019 Post Utme Bells University Accounting examination.

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