Post Utme Bowen University 2024 Accounting Question 16

Practice objective / multiple choice question 16 from the 2024 Post Utme Bowen University Accounting examination.

Post Utme Bowen University 2024 Accounting Objective / Multiple Choice
Question 16 POST_UTME_BOWEN_UNIVERSITY • 2024 • 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 it has not received any rent from its tenants. What is the correct journal entry to correct this error?

Answer Options

A. Debit Rent Received ₦15,000, Credit Rent Received ₦15,000
B. Debit Rent Received ₦15,000, Credit Cash ₦15,000
Correct Answer C. Debit Rent Received ₦15,000, Credit Profit or Loss on Error ₦15,000
D. Debit Cash ₦15,000, Credit Rent Received ₦15,000
Correct Answer
C
Correct Option:
Debit Rent Received ₦15,000, Credit Profit or Loss on Error ₦15,000

About This Question

This is Post Utme Bowen University 2024 Accounting Question 16. It is one of the objective questions from the 2024 Post Utme Bowen University Accounting examination.

View More Post Utme Bowen University 2024 Accounting Questions More Post Utme Bowen University 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