Post Utme Rhema University 2024 Accounting Question 19

Practice objective / multiple choice question 19 from the 2024 Post Utme Rhema University Accounting examination.

Post Utme Rhema University 2024 Accounting Objective / Multiple Choice
Question 19 POST_UTME_RHEMA_UNIVERSITY • 2024 • ACCOUNTING • objective

A company's trial balance shows a debit balance of ₦15,000 in the 'Rent Expense' account. However, the company's accounting records show that it has paid ₦20,000 in rent for the year. What is the correct journal entry to correct the error?

Answer Options

A. Debit Rent Expense ₦5,000, Credit Cash ₦5,000
Correct Answer B. Debit Rent Expense ₦5,000, Credit Rent Payable ₦5,000
C. Debit Rent Expense ₦5,000, Credit Cash ₦20,000
D. Debit Rent Expense ₦20,000, Credit Cash ₦20,000
Correct Answer
B
Correct Option:
Debit Rent Expense ₦5,000, Credit Rent Payable ₦5,000

About This Question

This is Post Utme Rhema University 2024 Accounting Question 19. It is one of the objective questions from the 2024 Post Utme Rhema University Accounting examination.

View More Post Utme Rhema University 2024 Accounting Questions More Post Utme Rhema University Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support