Concept:Goods bought for resale are recorded as Purchases, and payment by cheque reduces the bank balance.
Explanation:Under the double entry system, every transaction has a debit entry and a corresponding credit entry.
When Nwoye buys stock, the goods come into the business, so the Purchases account increases and is debited.
Payment is made by cheque, meaning money goes out of the bank account, so the Bank account decreases and is credited.
Therefore, the correct entries are: Debit Purchases, Credit Bank.
Answer:B. Purchases; Credit bank.