Post Utme Skyline University 2020 Accounting Question 20

Practice objective / multiple choice question 20 from the 2020 Post Utme Skyline University Accounting examination.

Post Utme Skyline University 2020 Accounting Objective / Multiple Choice
Question 20 POST_UTME_SKYLINE_UNIVERSITY • 2020 • ACCOUNTING • objective

A company's cash book shows a balance of ₦150,000. However, the bank statement shows a balance of ₦120,000. The difference is due to a debit of ₦20,000 for a dishonored cheque. What is the correct journal entry to reconcile the cash book and bank statement?

Answer Options

Correct Answer A. ₦20,000 Debit Cash, ₦20,000 Credit Bank
B. ₦20,000 Debit Bank, ₦20,000 Credit Cash
C. ₦20,000 Debit Bank, ₦20,000 Credit Suspense Account
D. ₦20,000 Debit Suspense Account, ₦20,000 Credit Bank
Correct Answer
A
Correct Option:
₦20,000 Debit Cash, ₦20,000 Credit Bank

About This Question

This is Post Utme Skyline University 2020 Accounting Question 20. It is one of the objective questions from the 2020 Post Utme Skyline University Accounting examination.

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