Neco 2025 Financial Accounting Question 37

Practice objective / multiple choice question 37 from the 2025 Neco Financial Accounting examination.

Neco 2025 Financial Accounting Objective / Multiple Choice Easy Difficulty
Question 37 NECO • 2025 • FINANCIAL_ACCOUNTING • objective

A business receives cash of N50,000 from a customer for services that will be performed next month. State the effect of this transaction on the accounting equation (Assets = Liabilities + Equity).

Answer Options

A. Assets +50,000; Liabilities unchanged; Equity unchanged
B. Assets unchanged; Liabilities +50,000; Equity unchanged
Correct Answer C. Assets +50,000; Liabilities +50,000; Equity unchanged
D. Assets +50,000; Liabilities +50,000; Equity +50,000
Correct Answer
C
Correct Option:
Assets +50,000; Liabilities +50,000; Equity unchanged

About This Question

This is Neco 2025 Financial Accounting Question 37. It is one of the objective questions from the 2025 Neco Financial Accounting examination.

Difficulty level: Easy .

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