Post Utme Summit University 2020 Accounting Question 14

Practice objective / multiple choice question 14 from the 2020 Post Utme Summit University Accounting examination.

Post Utme Summit University 2020 Accounting Objective / Multiple Choice
Question 14 POST_UTME_SUMMIT_UNIVERSITY • 2020 • ACCOUNTING • objective

A company uses the double-entry system of accounting. The following transactions occurred during the year: Purchased office supplies for ₦5,000; Paid rent for the year ₦20,000; Sold merchandise for ₦80,000; Purchased merchandise for ₦60,000; Collected cash from customers ₦40,000. Prepare the company's ledger accounts.

Answer Options

Correct Answer A. Office Supplies: ₦5,000; Rent Expense: ₦20,000; Sales Revenue: ₦80,000; Merchandise Inventory: ₦60,000; Cash: ₦40,000
B. Office Supplies: ₦5,000; Rent Expense: ₦20,000; Sales Revenue: ₦80,000; Merchandise Inventory: ₦60,000; Accounts Receivable: ₦40,000
C. Office Supplies: ₦5,000; Rent Expense: ₦20,000; Sales Revenue: ₦80,000; Merchandise Inventory: ₦60,000; Accounts Payable: ₦40,000
D. Office Supplies: ₦5,000; Rent Expense: ₦20,000; Sales Revenue: ₦80,000; Merchandise Inventory: ₦60,000; Cash: ₦40,000
Correct Answer
A
Correct Option:
Office Supplies: ₦5,000; Rent Expense: ₦20,000; Sales Revenue: ₦80,000; Merchandise Inventory: ₦60,000; Cash: ₦40,000

About This Question

This is Post Utme Summit University 2020 Accounting Question 14. It is one of the objective questions from the 2020 Post Utme Summit University Accounting examination.

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