Post Utme Oau 2023 Accounting Question 25

Practice objective / multiple choice question 25 from the 2023 Post Utme Oau Accounting examination.

Post Utme Oau 2023 Accounting Objective / Multiple Choice
Question 25 POST_UTME_OAU • 2023 • ACCOUNTING • objective

A company's accounting records showed a debit balance of ₦30,000 in the account 'Purchases Returns'. The company's accounting policy requires that purchases returns be treated as a deduction from purchases. What is the correct journal entry to correct the error?

Answer Options

A. Debit Purchases Returns, Credit Purchases
Correct Answer B. Debit Purchases, Credit Purchases Returns
C. Debit Purchases, Credit Purchases Returns and Cost of Goods Sold
D. Debit Purchases Returns, Credit Cost of Goods Sold
Correct Answer
B
Correct Option:
Debit Purchases, Credit Purchases Returns

About This Question

This is Post Utme Oau 2023 Accounting Question 25. It is one of the objective questions from the 2023 Post Utme Oau Accounting examination.

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