Post Utme Pan Atlantic University 2022 Accounting Question 29

Practice objective / multiple choice question 29 from the 2022 Post Utme Pan Atlantic University Accounting examination.

Post Utme Pan Atlantic University 2022 Accounting Objective / Multiple Choice
Question 29 POST_UTME_PAN-ATLANTIC_UNIVERSITY • 2022 • ACCOUNTING • objective

A company's trial balance shows a debit balance of ₦15,000 in the account 'Rent Received' and a credit balance of ₦20,000 in the account 'Rent Paid'. What is the correct treatment of these accounts in the preparation of the company's financial statements?

Answer Options

A. Debit the 'Rent Paid' account and credit the 'Rent Received' account.
B. Credit the 'Rent Paid' account and debit the 'Rent Received' account.
C. Debit the 'Rent Received' account and credit the 'Rent Paid' account.
Correct Answer D. Credit the 'Rent Received' account and debit the 'Rent Paid' account.
Correct Answer
D
Correct Option:
Credit the 'Rent Received' account and debit the 'Rent Paid' account.

About This Question

This is Post Utme Pan Atlantic University 2022 Accounting Question 29. It is one of the objective questions from the 2022 Post Utme Pan Atlantic University Accounting examination.

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