Forlah, a stock broker bought stationery for ₦12,000 by cash. To record this transaction, debit

Assessment: JAMB UTME - Principles of Accounts - 2021 Subject: Financial Accounting

Question 1 Report

Forlah, a stock broker bought stationery for ₦12,000 by cash. To record this transaction, debit
Answer Details
The correct way to record this transaction is to debit stationery and credit cash. This is because when a stock broker buys stationery for cash, the company's stationery account increases (debit) and the company's cash account decreases (credit).

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