Post Utme Pan Atlantic University 2018 Accounting Question 31

Practice objective / multiple choice question 31 from the 2018 Post Utme Pan Atlantic University Accounting examination.

Post Utme Pan Atlantic University 2018 Accounting Objective / Multiple Choice
Question 31 POST_UTME_PAN-ATLANTIC_UNIVERSITY • 2018 • ACCOUNTING • objective

A company's trading account for the year ended 31st December 2022 shows a profit of ₦500,000. The company's profit and loss account for the same period shows a net profit of ₦750,000. What is the correct journal entry to record the difference between the trading account and profit and loss account?

Answer Options

Correct Answer A. ₦250,000 debit Profit and Loss Account, ₦250,000 credit Trading Account
B. ₦750,000 debit Trading Account, ₦750,000 credit Profit and Loss Account
C. ₦500,000 debit Profit and Loss Account, ₦500,000 credit Trading Account
D. ₦250,000 debit Trading Account, ₦250,000 credit Profit and Loss Account
Correct Answer
A
Correct Option:
₦250,000 debit Profit and Loss Account, ₦250,000 credit Trading Account

About This Question

This is Post Utme Pan Atlantic University 2018 Accounting Question 31. It is one of the objective questions from the 2018 Post Utme Pan Atlantic University Accounting examination.

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