Post Utme Unilag 2023 Accounting Question 8

Practice objective / multiple choice question 8 from the 2023 Post Utme Unilag Accounting examination.

Post Utme Unilag 2023 Accounting Objective / Multiple Choice
Question 8 POST_UTME_UNILAG • 2023 • ACCOUNTING • objective

A company has the following transactions: Purchased office supplies for 1,000, Sold merchandise for 5,000, Purchased equipment for 20,000. What is the net effect on the accounting equation?

Answer Options

A. Assets increase by 26,000, Liabilities increase by 26,000, Equity increases by 26,000
B. Assets increase by 26,000, Liabilities decrease by 26,000, Equity decreases by 26,000
C. Assets decrease by 26,000, Liabilities decrease by 26,000, Equity decreases by 26,000
Correct Answer D. Assets increase by 26,000, Liabilities decrease by 26,000, Equity increases by 26,000
Correct Answer
D
Correct Option:
Assets increase by 26,000, Liabilities decrease by 26,000, Equity increases by 26,000

About This Question

This is Post Utme Unilag 2023 Accounting Question 8. It is one of the objective questions from the 2023 Post Utme Unilag Accounting examination.

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