Post Utme Noun 2024 Accounting Question 5

Practice objective / multiple choice question 5 from the 2024 Post Utme Noun Accounting examination.

Post Utme Noun 2024 Accounting Objective / Multiple Choice
Question 5 POST_UTME_NOUN • 2024 • ACCOUNTING • objective

A company uses the control account system to record its financial transactions. The company has the following transactions: Debit Cash ₦25,000, Credit Accounts Payable ₦25,000. What is the effect of this transaction on the company's financial position?

Answer Options

A. The company's assets increase by ₦25,000.
Correct Answer B. The company's liabilities increase by ₦25,000.
C. The company's equity increases by ₦25,000.
D. The company's assets decrease by ₦25,000.
Correct Answer
B
Correct Option:
The company's liabilities increase by ₦25,000.

About This Question

This is Post Utme Noun 2024 Accounting Question 5. It is one of the objective questions from the 2024 Post Utme Noun Accounting examination.

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