Post Utme Caleb University 2021 Accounting Question 12

Practice objective / multiple choice question 12 from the 2021 Post Utme Caleb University Accounting examination.

Post Utme Caleb University 2021 Accounting Objective / Multiple Choice
Question 12 POST_UTME_CALEB_UNIVERSITY • 2021 • ACCOUNTING • objective

A company uses the double-entry system of accounting. It records the following transactions: Debit Cash ₦10,000, Credit Accounts Payable ₦10,000. What is the effect of this transaction on the company's balance sheet?

Answer Options

Correct Answer A. Increase in Cash and decrease in Accounts Payable
B. Decrease in Cash and increase in Accounts Payable
C. No effect on Cash and Accounts Payable
D. Increase in Accounts Payable and decrease in Cash
Correct Answer
A
Correct Option:
Increase in Cash and decrease in Accounts Payable

About This Question

This is Post Utme Caleb University 2021 Accounting Question 12. It is one of the objective questions from the 2021 Post Utme Caleb University Accounting examination.

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