Post Utme Esut 2021 Accounting Question 39

Practice objective / multiple choice question 39 from the 2021 Post Utme Esut Accounting examination.

Post Utme Esut 2021 Accounting Objective / Multiple Choice
Question 39 POST_UTME_ESUT • 2021 • ACCOUNTING • objective

A company's trial balance shows a debit balance of ₦10,000 in the account 'Purchases'. However, the company's accounting records show that the purchases were actually returned to the supplier. What is the correct journal entry to correct this error?

Answer Options

A. Debit Purchases ₦10,000, Credit Returns Outwards ₦10,000
Correct Answer B. Debit Returns Outwards ₦10,000, Credit Purchases ₦10,000
C. Debit Purchases ₦10,000, Credit Purchases Return ₦10,000
D. Debit Purchases Return ₦10,000, Credit Purchases ₦10,000
Correct Answer
B
Correct Option:
Debit Returns Outwards ₦10,000, Credit Purchases ₦10,000

About This Question

This is Post Utme Esut 2021 Accounting Question 39. It is one of the objective questions from the 2021 Post Utme Esut Accounting examination.

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