Post Utme Mountain Top University 2018 Accounting Question 30

Practice objective / multiple choice question 30 from the 2018 Post Utme Mountain Top University Accounting examination.

Post Utme Mountain Top University 2018 Accounting Objective / Multiple Choice
Question 30 POST_UTME_MOUNTAIN_TOP_UNIVERSITY • 2018 • ACCOUNTING • objective

A company uses the double-entry system of accounting. The company's ledger shows a debit balance of ₦30,000 in the account 'Purchases' and a credit balance of ₦25,000 in the account 'Sales'. What is the correct journal entry to record the transaction?

Answer Options

A. ₦30,000 debit to Sales and ₦25,000 credit to Purchases
B. ₦30,000 credit to Sales and ₦25,000 debit to Purchases
Correct Answer C. ₦30,000 debit to Purchases and ₦25,000 credit to Sales
D. ₦30,000 credit to Purchases and ₦25,000 debit to Sales
Correct Answer
C
Correct Option:
₦30,000 debit to Purchases and ₦25,000 credit to Sales

About This Question

This is Post Utme Mountain Top University 2018 Accounting Question 30. It is one of the objective questions from the 2018 Post Utme Mountain Top University Accounting examination.

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