Post Utme Mountain Top University 2025 Accounting Question 28

Practice objective / multiple choice question 28 from the 2025 Post Utme Mountain Top University Accounting examination.

Post Utme Mountain Top University 2025 Accounting Objective / Multiple Choice
Question 28 POST_UTME_MOUNTAIN_TOP_UNIVERSITY • 2025 • ACCOUNTING • objective

A company's Balance Sheet shows a current liability of ₦50,000. What is the effect of this liability on the company's liquidity position?

Answer Options

A. Increases liquidity
Correct Answer B. Decreases liquidity
C. No effect on liquidity
D. Unknown effect on liquidity
Correct Answer
B
Correct Option:
Decreases liquidity

About This Question

This is Post Utme Mountain Top University 2025 Accounting Question 28. It is one of the objective questions from the 2025 Post Utme Mountain Top University Accounting examination.

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