Post Utme Wellspring University 2023 Accounting Question 4

Practice objective / multiple choice question 4 from the 2023 Post Utme Wellspring University Accounting examination.

Post Utme Wellspring University 2023 Accounting Objective / Multiple Choice
Question 4 POST_UTME_WELLSPRING_UNIVERSITY • 2023 • ACCOUNTING • objective

A company uses a self-balancing ledger to record its transactions. The ledger shows the following balances: Cash ₦100,000, Accounts Payable ₦50,000, and Common Stock ₦200,000. What is the correct formula for calculating the company's net worth?

Answer Options

A. Net Worth = Cash + Accounts Payable + Common Stock
Correct Answer B. Net Worth = Cash - Accounts Payable + Common Stock
C. Net Worth = Cash + Accounts Payable - Common Stock
D. Net Worth = Cash - Accounts Payable - Common Stock
Correct Answer
B
Correct Option:
Net Worth = Cash - Accounts Payable + Common Stock

About This Question

This is Post Utme Wellspring University 2023 Accounting Question 4. It is one of the objective questions from the 2023 Post Utme Wellspring University Accounting examination.

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