Neco 2023 Financial Accounting Question 40

Practice objective / multiple choice question 40 from the 2023 Neco Financial Accounting examination.

Neco 2023 Financial Accounting Objective / Multiple Choice Easy Difficulty

Question 40 NECO • 2023 • FINANCIAL_ACCOUNTING • objective

A business purchases equipment costing ₦500,000. It pays cash ₦150,000 and signs a note payable for the balance. Record the journal entry for this transaction.

A. Debit Equipment ₦500,000; Credit Cash ₦150,000; Debit Notes Payable ₦350,000

B. Debit Equipment ₦500,000; Debit Cash ₦150,000; Credit Notes Payable ₦350,000

Correct Answer C. Debit Equipment ₦500,000; Credit Cash ₦150,000; Credit Notes Payable ₦350,000

D. Debit Equipment ₦500,000; Credit Cash ₦200,000; Credit Notes Payable ₦300,000

Correct Answer

Correct Option:

Debit Equipment ₦500,000; Credit Cash ₦150,000; Credit Notes Payable ₦350,000

This is Neco 2023 Financial Accounting Question 40. It is one of the objective questions from the 2023 Neco Financial Accounting examination.

Difficulty level: Easy .

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