Post Utme Skyline University 2020 Accounting Question 40

Practice objective / multiple choice question 40 from the 2020 Post Utme Skyline University Accounting examination.

Post Utme Skyline University 2020 Accounting Objective / Multiple Choice
Question 40 POST_UTME_SKYLINE_UNIVERSITY • 2020 • ACCOUNTING • objective

A company's trial balance shows a debit balance of ₦15,000 in the account 'Rent Received' while the corresponding credit balance in the account 'Rent Paid' is ₦20,000. What is the correct journal entry to rectify this error?

Answer Options

A. ₦5,000 debit to Rent Received and ₦5,000 credit to Rent Paid
Correct Answer B. ₦5,000 debit to Rent Paid and ₦5,000 credit to Rent Received
C. ₦10,000 debit to Rent Received and ₦10,000 credit to Rent Paid
D. ₦10,000 debit to Rent Paid and ₦10,000 credit to Rent Received
Correct Answer
B
Correct Option:
₦5,000 debit to Rent Paid and ₦5,000 credit to Rent Received

About This Question

This is Post Utme Skyline University 2020 Accounting Question 40. It is one of the objective questions from the 2020 Post Utme Skyline University Accounting examination.

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