Post Utme Bells University 2024 Accounting Question 8

Practice objective / multiple choice question 8 from the 2024 Post Utme Bells University Accounting examination.

Post Utme Bells University 2024 Accounting Objective / Multiple Choice
Question 8 POST_UTME_BELLS_UNIVERSITY • 2024 • ACCOUNTING • objective

A company's bank reconciliation statement shows a difference of ₦10,000 between the company's cash book balance and the bank's statement balance. The company's accountant has identified the following errors: a deposit of ₦5,000 was not recorded in the cash book, and a withdrawal of ₦3,000 was recorded twice in the cash book. What is the correct adjustment to be made to the company's cash book balance?

Answer Options

Correct Answer A. Debit the Cash account by ₦8,000 and credit the Bank Overdraft account by ₦8,000.
B. Credit the Cash account by ₦8,000 and debit the Bank Overdraft account by ₦8,000.
C. Debit the Cash account by ₦5,000 and credit the Bank Overdraft account by ₦5,000.
D. Credit the Cash account by ₦5,000 and debit the Bank Overdraft account by ₦5,000.
Correct Answer
A
Correct Option:
Debit the Cash account by ₦8,000 and credit the Bank Overdraft account by ₦8,000.

About This Question

This is Post Utme Bells University 2024 Accounting Question 8. It is one of the objective questions from the 2024 Post Utme Bells University Accounting examination.

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