Post Utme Crawford University 2024 Accounting Question 40

Practice objective / multiple choice question 40 from the 2024 Post Utme Crawford University Accounting examination.

Post Utme Crawford University 2024 Accounting Objective / Multiple Choice
Question 40 POST_UTME_CRAWFORD_UNIVERSITY • 2024 • ACCOUNTING • objective

A company uses the double-entry system to record its transactions. If the company purchases office equipment for ₦120,000 cash, what is the effect on the accounting equation?

Answer Options

A. Assets increase, Liabilities increase, Equity increases
Correct Answer B. Assets increase, Liabilities decrease, Equity increases
C. Assets decrease, Liabilities increase, Equity decreases
D. Assets decrease, Liabilities decrease, Equity increases
Correct Answer
B
Correct Option:
Assets increase, Liabilities decrease, Equity increases

About This Question

This is Post Utme Crawford University 2024 Accounting Question 40. It is one of the objective questions from the 2024 Post Utme Crawford University Accounting examination.

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