Post Utme Madonna University 2018 Accounting Question 3

Practice objective / multiple choice question 3 from the 2018 Post Utme Madonna University Accounting examination.

Post Utme Madonna University 2018 Accounting Objective / Multiple Choice
Question 3 POST_UTME_MADONNA_UNIVERSITY • 2018 • ACCOUNTING • objective

A company's trial balance shows a discrepancy of ₦10,000. The company's accountant suspects that the error is due to an incorrect posting of a transaction. What is the correct procedure to follow?

Answer Options

A. Prepare a revised trial balance and compare it with the original trial balance.
Correct Answer B. Investigate the transaction that was incorrectly posted and correct the error.
C. Prepare a suspense account to account for the discrepancy.
D. Ignore the discrepancy and proceed with the financial statements.
Correct Answer
B
Correct Option:
Investigate the transaction that was incorrectly posted and correct the error.

About This Question

This is Post Utme Madonna University 2018 Accounting Question 3. It is one of the objective questions from the 2018 Post Utme Madonna University Accounting examination.

View More Post Utme Madonna University 2018 Accounting Questions More Post Utme Madonna University Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support