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JAMB - Accounts Principles Of Accounts (2010)

1
The major function of accounting bodies in Nigeria is to?
Answer
(C)
promote the ethics of the profession
2
Ledger account is mainly classified into?
Answer
(A)
nominal, real and personal accounts
3
If salary account is debited instead of stationary account, the error committed is that of?
Answer
(A)
commission
4
If stationery bought for N200 has been entered as N2000. To correct this error?
Answer
(C)
debit stationery with N1,800
5
The account which refers to the tangible assets of a company that is of permanent nature is the?
Answer
(B)
real account
6
Th major feature of an invoice is that, it?
Answer
(C)
specifies the particular of goods bought
7
The source documents include?
Answer
(D)
credit notes
8
A major cause of discrepancy between bank statement and the cash book that overstates the bank statement balance is the?
Answer
(B)
interest received
9
The bank charges levied on a current account holder is the charge on?
Answer
(B)
turnover
10
The course of discrepancies between the bank statement and the cash book that overstates the cash book is the?
Answer
(C)
uncredited cheques
11
Use the information below to answer question 

Sales....................................N10,900
Stock 1/1................................N1, 000
Stock 31/12..............................N2, 000
Purchases................................N4, 000
Returns outwards.........................N800
Returns inwards..........................N600
Carriage outwards........................N300
Carriage inwards.........................N200

Find the gross profit.
Answer
(B)
N7 900
12

Use the information below to answer question 

Sales....................................N10,900
Stock 1/1................................N1, 000
Stock 31/12..............................N2, 000
Purchases................................N4, 000
Returns outwards.........................N800
Returns inwards..........................N600
Carriage outwards........................N300
Carriage inwards.........................N200

The cost of goods available for sale is?

Answer
(D)
N4 400
13
Benefit enjoyed for which payments have not been made are?
Answer
(A)
accruals
14
Use the information below to answer questions 

Sundry debtor..................N20,000
Provision for bad debts........N500

Provision for bad debt at 4% of sundry debtors.

Determine the provision for bad debts to profit and loss account?
Answer
(D)
N300
15

Use the information below to answer questions

Sundry debtor..................N20,000
Provision for bad debts........N500

Provision for bad debt at 4% of sundry debtors.
 

Calculate the provision to be taken to the balance sheet?

Answer
(B)
N800
16
If an organization maintains a periodic stock system, the stock quantities are?
Answer
(A)
updated at the end of the accounting year
17
If a company values its stock in the period of rising prices using LIFO method, there is a tendency for it to?
Answer
(A)
have a higher cost of goods sold
18
Use the information below to answer questions 23 and 24.

............................31/12/07.......31/12/08
Stocks........................N4 200.........N3 900
Rates in advance..............N1 000.........N1 500
Accrued wages.................N1 150.........N1 350

Cost of goods sold was valued at N6 000.
Cash paid for rates and wages during the year was N1 300 and N2 200 respectively.

What is the value of purchases for the year 2008?
Answer
(D)
N5 700
19
Determine the total expenses to be charged to profit and loss account?
Answer
(E)
NO OPTION
20
Use the information below to answer questions 25 and 26.

........................31/12/08...........31/12/09

Furniture and fittings..N21 000,............N28 000
Office equipment........N9 800,.............N13 200
Debtors.................N6 800,.............N5 200
Creditors...............N4 900,.............N5 100
Cash at bank............N7 000,.............N4 600
Accrued electricity bills...................N1 200

Monthly drawings average N330.

Find the opening capital?
Answer
(A)
N39 700
21

Use the information below to answer questions

........................31/12/08...........31/12/09

Furniture and fittings..N21 000,............N28 000
Office equipment........N9 800,.............N13 200
Debtors.................N6 800,.............N5 200
Creditors...............N4 900,.............N5 100
Cash at bank............N7 000,.............N4 600
Accrued electricity bills...................N1 200

Monthly drawings average N330.

Determine the net profit ?

Answer
(D)
N8 960
22
The gross loss on manufacturing is always transferred to the?
Answer
(B)
debit side of profit and loss account
23
The depreciation on a motor vehicle that is being used for manufacturing and administration is charged to the?
Answer
(B)
debit side of profit and loss account only
24
The prime cost is the total of the?
Answer
(B)
direct material + direct labour + direct expenses
25
In the not-for-profit-making organization, the excess of income over expenditure is?
Answer
(C)
added to the capital
26
The equivalent of a club's receipts and payment account is the?
Answer
(C)
cash account
27
The summary of receipts and payments account represent?
Answer
(A)
cash at hand
28
The Akachala Limited has four department W, X Y and Z. The profits or loss of the departments were N20 000 loss, X N25 profit, Y were N30 000 loss and Z N1800 profit. How much is the net profit or loss of the company?
Answer
(A)
N7 000 loss
29
If goods were returned to branch by the customers, the correct posting for this transaction is to debit?
Answer
(C)
branch stock account and credit branch debtors' account
30
The branch expenses paid by the head office is recorded in the books by debiting branch?
Answer
(B)
expenses account and crediting bank account
31
Goods returned to branch by customers is recorded in the head office books be debiting?
Answer
(C)
branch stock account and crediting branch debtors account
32
Which of the following is mostly used in treating partners' current earnings?
Answer
(B)
Current account
33
The salary of a partner is usually debited to the?
Answer
(B)
appropriation account
34
The rules which govern the internal management of a firm and its financial affairs in a partnership business is a?
Answer
(C)
deed
35
The interest on partners' loans is?
Answer
(C)
debited in profit and loss account
36
The capital contribution by the partners is treated in the?
Answer
(B)
capital account
37

Given:

N6 000 10% preference shares of N0.50 each
N6 000 ordinary shares of N1 each
Capital reserves N2 700 000
Long-term liabilities N4 000 000

Find the value of authorized share capital?



 

Answer
(C)
9 000 000
38
The directors' salaries paid are items of?
Answer
(B)
profit and loss account
39

Sundry debtors in the balance sheet of Onoja Bakery and Sons totaled N800.
A provision of 2% was made for discount and 5% provision for bad and doubtful debts.

Find the amount for sundry debtors after provision?

 

Answer
(A)
N760 000
40
The financial plan of the government for a year is contained in the?
Answer
(A)
budget
41
An ordinary share of N80 was issued at N96. The share was issued at?
Answer
(A)
premium
42
An increase in government expenditure within a year is taken care of by means of?
Answer
(D)
supplementary estimate
43
As evidence of payments to a government ministry, the revenue collectors will issue?
Answer
(B)
receipts vourcher card
44

How much rent is apportioned to department K?

Answer
(A)
N1200
45

How much selling and distribution expenses is apportioned to department M?

Answer
(A)
N 800