Post Utme Ims U 2024 Accounting Question 21

Practice objective / multiple choice question 21 from the 2024 Post Utme Ims U Accounting examination.

Post Utme Ims U 2024 Accounting Objective / Multiple Choice
Question 21 POST_UTME_IMS_U • 2024 • ACCOUNTING • objective

A company's trial balance shows a debit balance of ₦50,000 in the account 'Rent Paid'. However, the company's accounting records show that the rent was actually received from the landlord. What is the correct journal entry to correct this error?

Answer Options

A. ₦50,000 debit to Rent Paid and ₦50,000 credit to Cash
Correct Answer B. ₦50,000 debit to Cash and ₦50,000 credit to Rent Paid
C. ₦50,000 debit to Rent Paid and ₦50,000 credit to Profit
D. ₦50,000 debit to Profit and ₦50,000 credit to Rent Paid
Correct Answer
B
Correct Option:
₦50,000 debit to Cash and ₦50,000 credit to Rent Paid

About This Question

This is Post Utme Ims U 2024 Accounting Question 21. It is one of the objective questions from the 2024 Post Utme Ims U Accounting examination.

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