Gce Model Questions Vol1 2023 Financial Accounting Question 19

Practice objective / multiple choice question 19 from the 2023 Gce Model Questions Vol1 Financial Accounting examination.

Gce Model Questions Vol1 2023 Financial Accounting Objective / Multiple Choice Medium Difficulty
Question 19 GCE_MODEL_QUESTIONS_VOL1 • 2023 • FINANCIAL_ACCOUNTING • objective

The unadjusted trial balance of a partnership firm balances. The accountant makes two adjusting entries: an accrued expense (debit expense, credit accrued expense) and a prepaid expense (credit expense, debit prepaid expense). The total of the debit side of the adjusting entries is £(6,000), and the amount of the accrued expense is twice the amount of the prepaid expense. Determine the amount of each adjusting entry.

Answer Options

A. Accrued expense £5,000; Prepaid expense £1,000
B. Accrued expense £2,000; Prepaid expense £4,000
C. Accrued expense £3,000; Prepaid expense £3,000
Correct Answer D. Accrued expense £4,000; Prepaid expense £2,000
Correct Answer
D
Correct Option:
Accrued expense £4,000; Prepaid expense £2,000

About This Question

This is Gce Model Questions Vol1 2023 Financial Accounting Question 19. It is one of the objective questions from the 2023 Gce Model Questions Vol1 Financial Accounting examination.

Difficulty level: Medium .

View More Gce Model Questions Vol1 2023 Financial Accounting Questions More Gce Model Questions Vol1 Practice Questions Back to Questions

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