Post Utme Covenant University 2024 Accounting Question 3

Practice objective / multiple choice question 3 from the 2024 Post Utme Covenant University Accounting examination.

Post Utme Covenant University 2024 Accounting Objective / Multiple Choice
Question 3 POST_UTME_COVENANT_UNIVERSITY • 2024 • ACCOUNTING • objective

A company uses the double-entry system to record its financial transactions. The company's journal shows the following entry: Debit Cash ₦10,000, Credit Accounts Payable ₦10,000. What is the purpose of this entry?

Answer Options

A. To record a sale of goods to a customer.
Correct Answer B. To record a purchase of goods from a supplier.
C. To record a payment made to a creditor.
D. To record a receipt of cash from a customer.
Correct Answer
B
Correct Option:
To record a purchase of goods from a supplier.

About This Question

This is Post Utme Covenant University 2024 Accounting Question 3. It is one of the objective questions from the 2024 Post Utme Covenant University Accounting examination.

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