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WAEC Accounting 2024 Objective — Question 27

Question 27 of 50 from the West African Examinations Council (WAEC) Accounting 2024 Objective paper, with the correct answer and a full explanation.

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A debit balance of D61,000 on a customer's bank statement means that

  • A. the customer's bank balance is D61,000
  • B. the customer owes the bank D61,000Correct
  • C. a customer's cheque of D61,000 is yet to be cleared by the bank
  • D. a direct deposit of D61,000 was made by a customer

Explanation

From the bank's point of view, a customer's account should normally show a credit balance; a debit balance means the customer owes the bank money.

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