The historical development of accounting reveals that it?
Answer
(A)
deals with debit and credit of items
2
In a trial balance, income and liabilities are?
Answer
(B)
credited
3
The principle of double entry system ensures?
Answer
(A)
mathematical accuracy in trial balance
4
i) Deducted the smaller side figure from the bigger side figure .
ii) Add up both side
iii)Take the difference to the smaller and add to the smaller figure
five columns, date particulars, folio, debit and credit
7
The medium of correcting errors whose differences are shown in the trial balance is by the use of?
Answer
(C)
suspense account
8
Use the information below to answer question .
Adamu Stores bought accessories from Mu'azu Beverages for N400 on credit. A trade discount of 10% and a cash discount of 15% were provided.
Find the total amount paid?
Answer
(B)
N300
9
Use the information below to answer question .
Adamu Stores bought accessories from Mu'azu Beverages for N400 on credit. A trade discount of 10% and a cash discount of 15% were provided.
Calculate the cash discount?
Answer
(A)
N60
10
In bank reconciliation process, discrepancies cause by timing arises as a result of?
Answer
(A)
cash book bank statement
11
The process of reconciling cheques between banks is termed cheque?
Answer
(A)
clearing
12
In a bank reconciliation statement, interest charged for overdrawn balances should be added to the?
Answer
(A)
balance as per bank statement
13
Use the information below to answer question
i) Stock of goods
ii) Furniture
iii)Creditors
iv) Cash at bank
v) Loan from the bank
Determine the current liabilities?
Answer
(A)
iii and v
14
Use the information below to answer question
i) Stock of goods
ii) Furniture
iii)Creditors
iv) Cash at bank
v) Loan from the bank
Find the current assets?
Answer
(D)
i and iv
15
The type of expense charged against administration of a firm is the?
Answer
(A)
repairs on building
16
In a period of declining price, which of the following methods would result in higher profit?
Answer
(A)
FIFO
17
The item on the credit side of the trading account is the?
Answer
(C)
sales
18
Use the information above to answer questions 19 and 20.
July 30 Closing stock 100 units at N90
July 8 Purchased 200 units at N95
July 10 Sold 160 units
July 17 Returned 80 faulty units purchased at N95
July 18 Purchased 200 units at N105
July 20 Sold 180 units
July 28 Purchased 200 units at N110
July 29 Sold 120 units
July 30 Sold 100 units
How many units were at hand as at July 30?
Answer
(C)
60
19
What is the value of stock as at the end of July 10 using FIFO?
Answer
(B)
N13 300
20
A typical example of a real account is?
Answer
(C)
plant
21
The control accounting can be used in?
Answer
(D)
monitoring the efficiency of bookkepping by accountants
22
Use the information below to answer questions 23 and 24.
Incomplete Record (Extract)
Sales......................................N10,600
Rent...........................N200
Depreciation of vehicle (cost N5000) 10%
Gross profit margin is 20%
What is the cost of goods sold?
Answer
(B)
N8 480
23
Calculate the net profit?
Answer
(C)
N1 420
24
The cost that are directly traceable to the the goods being produced is?
Answer
(D)
prime cost
25
The product cost that does not form part of the product but is incidental to product and facilitates the production activities is the?
Answer
(B)
indirect cost
26
Work-in-progress is the?
Answer
(A)
value of party finished goods
27
The major festure of not-for-profit-making-organization is that they are formed?
Answer
(B)
mainly to improve the welfare of her member
28
The subscription paid in advance is treated in the balance sheet of a club as?
Answer
(B)
a liability
29
The capital of not-for-profit-making organization is referred to as?
Answer
(C)
accumulated fund
30
The major objective of departmental accounts is to ascertain the?
Answer
(A)
contribution of each department to profit
31
The transactions relating to liquidation in partnership account is drawn by using?
Answer
(C)
capital account
32
The cost method of charging goods to branch is used where?
Answer
(A)
branch stock adjustment account is in use
33
The correct entries to record goods transferred to branch from head office is to debit?
Answer
(A)
branch stock account and credit goods sent to branch account
34
The two accounts that are normally opened in the head office when goods are transferred to a branch are?
Answer
(B)
branch stock account and goods sent to branch accounts
35
Goods invoiced to a branch can be sent using?
Answer
(B)
cost price, selling price and fixed percentage on cost price
36
The major point of agreement carried by the partnership deed is?
Answer
(D)
the profit and loss sharing ratio of the partners
37
Use the information below to answer questions 40 and 41.
Keme and Kemi are in partnership sharing profit and losses in the ratio 3:2.
Capital - Keme.............N20 000
........ - Kemi.............N10 000
Drawings - Keme.............N2 000
........ - Kemi.............N3 000
Profit......................N6 000
Interest on capital.........5%
Interest on drawings........10%
The interest on Kemi's capital is?
Answer
(C)
N500
38
The interest on Keme's drawings is calculated as?
Answer
(A)
N200
39
Which of the following can be used on admission of a new partnership?
Answer
(A)
Revaluation account
40
Goodwill is determined using?
Answer
(B)
number of partnerd admitted
41
The founders of a company are?
Answer
(A)
promoters
42
The fund in which all government receipt are paid is?
Answer
(A)
consolidated revenue fund
43
Which of the following accounts for the highest revenue to Nigeria?
Answer
(C)
Petroleum income tax
44
If Aboki Holdings Limited issued 120, 000 ordinary share of N2.00 each at market value of 5.50k each, the share premium would?
Answer
(D)
N420 000
45
Which of the following is a signatory to federal government account?
