Post Utme Joseph Ayo Babalola University 2017 Accounting Question 35

Practice objective / multiple choice question 35 from the 2017 Post Utme Joseph Ayo Babalola University Accounting examination.

Post Utme Joseph Ayo Babalola University 2017 Accounting Objective / Multiple Choice

Question 35 POST_UTME_JOSEPH_AYO_BABALOLA_UNIVERSITY • 2017 • ACCOUNTING • objective

A company uses the manufacturing account to record transactions. If the company purchases raw materials for ₦30,000, what is the effect on the manufacturing account?

Answer Options

Correct Answer A. ₦30,000 is debited to Raw Materials and ₦30,000 is credited to Work in Progress.

B. ₦30,000 is debited to Work in Progress and ₦30,000 is credited to Raw Materials.

C. ₦30,000 is debited to Raw Materials and ₦30,000 is credited to Finished Goods.

D. ₦30,000 is debited to Finished Goods and ₦30,000 is credited to Raw Materials.

Correct Answer

Correct Option:

₦30,000 is debited to Raw Materials and ₦30,000 is credited to Work in Progress.

About This Question

This is Post Utme Joseph Ayo Babalola University 2017 Accounting Question 35. It is one of the objective questions from the 2017 Post Utme Joseph Ayo Babalola University Accounting examination.

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