Post Utme Ims U 2018 Accounting Question 5

Practice objective / multiple choice question 5 from the 2018 Post Utme Ims U Accounting examination.

Post Utme Ims U 2018 Accounting Objective / Multiple Choice
Question 5 POST_UTME_IMS_U • 2018 • ACCOUNTING • objective

A company uses a control account to record its transactions. The control account shows a balance of ₦20,000. The company's ledger shows the following balances: Debit Balance: ₦15,000, Credit Balance: ₦10,000. What is the net effect of the transactions on the company's equity?

Answer Options

A. The company's equity has increased by ₦5,000.
Correct Answer B. The company's equity has decreased by ₦5,000.
C. The company's equity has remained unchanged.
D. The company's equity has increased by ₦10,000.
Correct Answer
B
Correct Option:
The company's equity has decreased by ₦5,000.

About This Question

This is Post Utme Ims U 2018 Accounting Question 5. It is one of the objective questions from the 2018 Post Utme Ims U Accounting examination.

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