Post Utme Christopher University 2020 Accounting Question 19

Practice objective / multiple choice question 19 from the 2020 Post Utme Christopher University Accounting examination.

Post Utme Christopher University 2020 Accounting Objective / Multiple Choice
Question 19 POST_UTME_CHRISTOPHER_UNIVERSITY • 2020 • ACCOUNTING • objective

A company's balance sheet shows a decrease in inventory of ₦15,000. However, the company's profit and loss account shows an increase in cost of goods sold of ₦25,000. What is the correct treatment of this discrepancy?

Answer Options

Correct Answer A. ₦10,000 is debited to the error account.
B. ₦10,000 is credited to the error account.
C. ₦10,000 is ignored as it is a minor error.
D. ₦10,000 is posted to the profit and loss account.
Correct Answer
A
Correct Option:
₦10,000 is debited to the error account.

About This Question

This is Post Utme Christopher University 2020 Accounting Question 19. It is one of the objective questions from the 2020 Post Utme Christopher University Accounting examination.

View More Post Utme Christopher University 2020 Accounting Questions More Post Utme Christopher 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