Post Utme Elizade University 2019 Accounting Question 29

Practice objective / multiple choice question 29 from the 2019 Post Utme Elizade University Accounting examination.

Post Utme Elizade University 2019 Accounting Objective / Multiple Choice
Question 29 POST_UTME_ELIZADE_UNIVERSITY • 2019 • ACCOUNTING • objective

A company has the following trial balance as at December 31, 2022: Accounts Receivable ₦50,000, Accounts Payable ₦30,000, Common Stock ₦200,000, Retained Earnings ₦150,000, Sales Revenue ₦500,000, Cost of Goods Sold ₦300,000, Salaries Expense ₦100,000, Rent Expense ₦50,000. Prepare the income statement for the year.

Answer Options

A. Sales Revenue ₦500,000, Cost of Goods Sold ₦300,000, Gross Profit ₦200,000, Salaries Expense ₦100,000, Rent Expense ₦50,000, Net Income ₦50,000
Correct Answer B. Sales Revenue ₦500,000, Cost of Goods Sold ₦300,000, Gross Profit ₦200,000, Salaries Expense ₦100,000, Rent Expense ₦50,000, Net Income ₦150,000
C. Sales Revenue ₦500,000, Cost of Goods Sold ₦300,000, Gross Profit ₦200,000, Salaries Expense ₦100,000, Rent Expense ₦50,000, Net Income ₦200,000
D. Sales Revenue ₦500,000, Cost of Goods Sold ₦300,000, Gross Profit ₦200,000, Salaries Expense ₦100,000, Rent Expense ₦50,000, Net Income ₦250,000
Correct Answer
B
Correct Option:
Sales Revenue ₦500,000, Cost of Goods Sold ₦300,000, Gross Profit ₦200,000, Salaries Expense ₦100,000, Rent Expense ₦50,000, Net Income ₦150,000

About This Question

This is Post Utme Elizade University 2019 Accounting Question 29. It is one of the objective questions from the 2019 Post Utme Elizade University Accounting examination.

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