Post Utme Rhema University 2022 Accounting Question 38

Practice objective / multiple choice question 38 from the 2022 Post Utme Rhema University Accounting examination.

Post Utme Rhema University 2022 Accounting Objective / Multiple Choice
Question 38 POST_UTME_RHEMA_UNIVERSITY • 2022 • ACCOUNTING • objective

A company's cash book shows a balance of ₦250,000 on December 31st, but the bank statement shows a balance of ₦300,000. The bank statement also shows a credit of ₦50,000 for a loan received from a customer. What is the correct journal entry to reconcile the cash book and bank statement?

Answer Options

Correct Answer A. ₦50,000 debit to cash and ₦50,000 credit to loan account
B. ₦50,000 debit to loan account and ₦50,000 credit to cash
C. ₦50,000 debit to cash and ₦50,000 credit to bank overdraft
D. ₦50,000 debit to bank overdraft and ₦50,000 credit to cash
Correct Answer
A
Correct Option:
₦50,000 debit to cash and ₦50,000 credit to loan account

About This Question

This is Post Utme Rhema University 2022 Accounting Question 38. It is one of the objective questions from the 2022 Post Utme Rhema University Accounting examination.

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