Post Utme Lautech 2017 Accounting Question 39

Practice objective / multiple choice question 39 from the 2017 Post Utme Lautech Accounting examination.

Post Utme Lautech 2017 Accounting Objective / Multiple Choice
Question 39 POST_UTME_LAUTECH • 2017 • ACCOUNTING • objective

A company uses the cash book to record all its financial transactions. The cash book shows a balance of ₦180,000. However, the bank statement shows a balance of ₦160,000. What is the reason for the discrepancy?

Answer Options

A. The company has outstanding checks.
B. The company has deposited cash into the bank but the bank has not yet credited the account.
Correct Answer C. The company has withdrawn cash from the bank but the bank has not yet debited the account.
D. The company has made an error in recording transactions.
Correct Answer
C
Correct Option:
The company has withdrawn cash from the bank but the bank has not yet debited the account.

About This Question

This is Post Utme Lautech 2017 Accounting Question 39. It is one of the objective questions from the 2017 Post Utme Lautech Accounting examination.

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