Post Utme Mountain Top University 2019 Accounting Question 18

Practice objective / multiple choice question 18 from the 2019 Post Utme Mountain Top University Accounting examination.

Post Utme Mountain Top University 2019 Accounting Objective / Multiple Choice
Question 18 POST_UTME_MOUNTAIN_TOP_UNIVERSITY • 2019 • ACCOUNTING • objective

A company's balance sheet shows a current asset of ₦150,000 in the 'Accounts Receivable' account. However, the company's accounting records show that the actual amount of accounts receivable is ₦200,000. What is the correct journal entry to record the adjustment?

Answer Options

A. Debit Accounts Receivable ₦50,000, Credit Profit and Loss ₦50,000
Correct Answer B. Debit Accounts Receivable ₦50,000, Credit Cash ₦50,000
C. Debit Cash ₦50,000, Credit Accounts Receivable ₦50,000
D. Debit Accounts Receivable ₦100,000, Credit Profit and Loss ₦100,000
Correct Answer
B
Correct Option:
Debit Accounts Receivable ₦50,000, Credit Cash ₦50,000

About This Question

This is Post Utme Mountain Top University 2019 Accounting Question 18. It is one of the objective questions from the 2019 Post Utme Mountain Top University Accounting examination.

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