Post Utme Unilag 2023 Accounting Question 34

Practice objective / multiple choice question 34 from the 2023 Post Utme Unilag Accounting examination.

Post Utme Unilag 2023 Accounting Objective / Multiple Choice
Question 34 POST_UTME_UNILAG • 2023 • ACCOUNTING • objective

A company uses the double-entry system to record its transactions. The company's accountant has recorded the following transactions in the journal: Debit: Cash 10,000, Accounts Payable 5,000, Equipment 15,000 Credit: Common Stock 20,000, Retained Earnings 5,000 What is the correct journal entry for the purchase of equipment?

Answer Options

A. Debit Equipment 15,000, Credit Cash 15,000
Correct Answer B. Debit Equipment 15,000, Credit Accounts Payable 15,000
C. Debit Equipment 15,000, Credit Common Stock 15,000
D. Debit Equipment 15,000, Credit Retained Earnings 15,000
Correct Answer
B
Correct Option:
Debit Equipment 15,000, Credit Accounts Payable 15,000

About This Question

This is Post Utme Unilag 2023 Accounting Question 34. It is one of the objective questions from the 2023 Post Utme Unilag Accounting examination.

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