Neco Model Questions Vol1 2024 Financial Accounting Question 21
Practice objective / multiple choice question 21 from the 2024 Neco Model Questions Vol1 Financial Accounting examination.
Using the opening balances and the following transactions, determine the closing balance of the Cash account at month‑end. Opening balances (debit unless stated): Cash ₦50,000; Accounts Receivable ₦30,000; Inventory ₦40,000; Accounts Payable ₦20,000 (credit); Capital ₦100,000 (credit). Transactions during the month: 1. Purchased inventory on credit for ₦25,000; a 2 % cash‑discount is offered if payment is made within 10 days. 2. Sold goods costing ₦18,000 for ₦30,000 on credit. 3. Paid cash for utilities amounting to ₦5,000. 4. Received cash of ₦12,000 from a customer against accounts receivable. 5. At month‑end the company takes the discount and pays the supplier.
Answer Options
About This Question
This is Neco Model Questions Vol1 2024 Financial Accounting Question 21. It is one of the objective questions from the 2024 Neco Model Questions Vol1 Financial Accounting examination.
Difficulty level: Medium .
Master the Exam!
You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.