Post Utme Covenant University 2017 Accounting Question 1

Practice objective / multiple choice question 1 from the 2017 Post Utme Covenant University Accounting examination.

Post Utme Covenant University 2017 Accounting Objective / Multiple Choice
Question 1 POST_UTME_COVENANT_UNIVERSITY • 2017 • ACCOUNTING • objective

Determine the correct journal entry for the following transaction: On January 1, 2020, the partnership of A and B acquired a building for ₦500,000. The building was valued at ₦600,000 on December 31, 2020. The partnership also incurred a loss of ₦20,000 on the sale of an asset.

Answer Options

A. Debit Building ₦500,000, Credit Cash ₦500,000
B. Debit Building ₦600,000, Credit Cash ₦500,000
Correct Answer C. Debit Building ₦500,000, Credit Cash ₦600,000
D. Debit Building ₦600,000, Credit Cash ₦600,000
Correct Answer
C
Correct Option:
Debit Building ₦500,000, Credit Cash ₦600,000

About This Question

This is Post Utme Covenant University 2017 Accounting Question 1. It is one of the objective questions from the 2017 Post Utme Covenant University Accounting examination.

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