Post Utme Greenfield University 2017 Accounting Question 29

Practice objective / multiple choice question 29 from the 2017 Post Utme Greenfield University Accounting examination.

Post Utme Greenfield University 2017 Accounting Objective / Multiple Choice
Question 29 POST_UTME_GREENFIELD_UNIVERSITY • 2017 • ACCOUNTING • objective

A company uses the double-entry system of accounting. The company's journal entries for the year ended December 31, 2022, include the following: Debit Accounts Payable ₥ 100,000 and Credit Cash ₥ 100,000. What is the effect of this journal entry on the company's financial statements?

Answer Options

A. Increases both Assets and Liabilities
B. Increases Assets and Decreases Liabilities
Correct Answer C. Decreases Assets and Increases Liabilities
D. Decreases both Assets and Liabilities
Correct Answer
C
Correct Option:
Decreases Assets and Increases Liabilities

About This Question

This is Post Utme Greenfield University 2017 Accounting Question 29. It is one of the objective questions from the 2017 Post Utme Greenfield University Accounting examination.

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