Post Utme Greenfield University 2017 Accounting Question 16

Practice objective / multiple choice question 16 from the 2017 Post Utme Greenfield University Accounting examination.

Post Utme Greenfield University 2017 Accounting Objective / Multiple Choice
Question 16 POST_UTME_GREENFIELD_UNIVERSITY • 2017 • ACCOUNTING • objective

A company's trial balance shows a credit balance in the 'Rent Expense' account. However, the company's accounting records indicate that it has not paid any rent for the year. What is the most likely cause of this discrepancy?

Answer Options

A. The company has prepaid rent for the year.
Correct Answer B. The company has accrued rent for the year.
C. The company has not recorded the rent expense correctly.
D. The company has not recorded the rent payment correctly.
Correct Answer
B
Correct Option:
The company has accrued rent for the year.

About This Question

This is Post Utme Greenfield University 2017 Accounting Question 16. It is one of the objective questions from the 2017 Post Utme Greenfield University Accounting examination.

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