Post Utme Mountain Top University 2018 Accounting Question 36

Practice objective / multiple choice question 36 from the 2018 Post Utme Mountain Top University Accounting examination.

Post Utme Mountain Top University 2018 Accounting Objective / Multiple Choice
Question 36 POST_UTME_MOUNTAIN_TOP_UNIVERSITY • 2018 • ACCOUNTING • objective

A company's trial balance shows a debit balance of ₦15,000 in the 'Rent Expense' account. However, the company's accounting records show that it has paid ₦20,000 in rent for the year. What is the correct journal entry to record the payment?

Answer Options

A. ₦20,000 debit to Rent Expense, ₦20,000 credit to Cash
Correct Answer B. ₦20,000 debit to Cash, ₦20,000 credit to Rent Expense
C. ₦15,000 debit to Rent Expense, ₦20,000 credit to Cash
D. ₦20,000 debit to Rent Expense, ₦15,000 credit to Cash
Correct Answer
B
Correct Option:
₦20,000 debit to Cash, ₦20,000 credit to Rent Expense

About This Question

This is Post Utme Mountain Top University 2018 Accounting Question 36. It is one of the objective questions from the 2018 Post Utme Mountain Top University Accounting examination.

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