Neco 2018 Financial Accounting Question 13

Practice objective / multiple choice question 13 from the 2018 Neco Financial Accounting examination.

Neco 2018 Financial Accounting Objective / Multiple Choice Medium Difficulty
Question 13 NECO • 2018 • FINANCIAL_ACCOUNTING • objective

The trial balance (Naira) shows: Cash \(45,000\) (debit), Bank \(30,000\) (debit), Trade Receivables \(25,000\) (debit), Inventory \(20,000\) (debit), Equipment \(15,000\) (debit), Rent Expense \(12,000\) (debit); Capital \(70,000\) (credit), Loans Payable \(20,000\) (credit), Sales \(50,000\) (credit), Interest Income \(2,000\) (credit), Suspense Account \(5,000\) (credit). The cash balance contains a transposition error and the purchases entry of \(35,000\) has been omitted. Determine the correct cash balance, the missing Purchases amount, and the new total of each side of the trial balance after correction.

Answer Options

A. Cash = 53,000; Purchases = 35,000; Adjusted trial balance total = 191,000
Correct Answer B. Cash = 54,000; Purchases = 35,000; Adjusted trial balance total = 191,000
C. Cash = 54,000; Purchases = 30,000; Adjusted trial balance total = 186,000
D. Cash = 54,000; Purchases = 35,000; Adjusted trial balance total = 200,000
Correct Answer
B
Correct Option:
Cash = 54,000; Purchases = 35,000; Adjusted trial balance total = 191,000

About This Question

This is Neco 2018 Financial Accounting Question 13. It is one of the objective questions from the 2018 Neco Financial Accounting examination.

Difficulty level: Medium .

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