Question on: JAMB Accounting - 2023


The effect of transaction when cash is paid into the bank is?

A
bank balance decrease and cash balance increase
B
cash balance decrease and bank balance increase
C
bank balance decrease and cash balance decrease
D
cash balance increase and bank balance increase
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Correct Option: B

The effect of a transaction when cash is paid into the bank is that the cash balance decreases, and the bank balance increases. This reflects the movement of funds from the business's cash holdings to its bank account.

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