Post Utme Futa 2018 Accounting Question 39

Practice objective / multiple choice question 39 from the 2018 Post Utme Futa Accounting examination.

Post Utme Futa 2018 Accounting Objective / Multiple Choice
Question 39 POST_UTME_FUTA • 2018 • ACCOUNTING • objective

A company uses the double-entry system of accounting. The company's journal entry for a sale of goods on credit is: Debit Sales ₦10,000 and Credit Accounts Receivable ₦10,000. What is the effect of this transaction on the company's balance sheet?

Answer Options

A. Increases Cash and decreases Accounts Receivable
Correct Answer B. Increases Sales and decreases Accounts Receivable
C. Increases Cash and increases Accounts Receivable
D. Increases Sales and increases Accounts Receivable
Correct Answer
B
Correct Option:
Increases Sales and decreases Accounts Receivable

About This Question

This is Post Utme Futa 2018 Accounting Question 39. It is one of the objective questions from the 2018 Post Utme Futa Accounting examination.

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