Post Utme Ui 2025 Accounting Question 37

Practice objective / multiple choice question 37 from the 2025 Post Utme Ui Accounting examination.

Post Utme Ui 2025 Accounting Objective / Multiple Choice
Question 37 POST_UTME_UI • 2025 • ACCOUNTING • objective

A company's trial balance shows a debit balance of ₦50,000 for an account called 'Allowance for Doubtful Debts'. However, the company's financial statements show a credit balance of ₦20,000 for the same account. What is the correct treatment for this account?

Answer Options

A. Debit the Allowance for Doubtful Debts account by ₦20,000
Correct Answer B. Credit the Allowance for Doubtful Debts account by ₦20,000
C. Debit the Allowance for Doubtful Debts account by ₦30,000
D. Credit the Allowance for Doubtful Debts account by ₦30,000
Correct Answer
B
Correct Option:
Credit the Allowance for Doubtful Debts account by ₦20,000

About This Question

This is Post Utme Ui 2025 Accounting Question 37. It is one of the objective questions from the 2025 Post Utme Ui Accounting examination.

View More Post Utme Ui 2025 Accounting Questions More Post Utme Ui 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