The objectively of accounting information is enable users to
Answer
(C)
make decisions
2
Trade discounts are given for
Answer
(B)
prompt payment
3
When closing stock is overstated, it would reduce,
Answer
(B)
gross profit and increase cost of sales
4
Which of the following is not a source document?
Answer
(A)
journal paper
5
A fixed assets fully written-down by a trader is now considered to be worth ₦5,000. The double entry required to reflect this is debit
Answer
(B)
asset account credit capital account
6
Which of the following is a book of ordinary entry?
Answer
(D)
sales journal
7
A balance sheet shows only
Answer
(C)
assets and liabilities
8
The process of entering transaction from one book to another is
Answer
(B)
posting
9
Which of the following is a trading account item?
Answer
(D)
carriage inwards
10
The addition of prime cost and factory overhead is
Answer
(C)
cost of goods produced
11
Capital receipt is collected
Answer
(A)
on sales of motor vehicle
12
Which of the following is an example of factory overheads?
Answer
(A)
salary of marketing officer
13
Osa started business with Le 40,000 cash. The accounting entry is debit
Answer
(B)
capital account; credit cash account
14
Branch stock account is used to determine the
Answer
(D)
branch net profit or loss
15
The name given to a budget in public service accounting is
Answer
(D)
estimate
16
Which of the following is not prepared by a partnership?
Answer
(C)
income and expenditure account
17
A partner who only make capital contribution but does not take part in the management of the partnership business is a/an
Answer
(C)
dormant partner
18
which of the following is a component of prime cost?
Answer
(D)
factory electricity
19
The concept which establishes the rule for the periodic recognition of revenue as soon as it is capable of objective measurement is
Answer
(D)
realization
20
Rent accrued in 2009 was D140, in 2010, D900 was paid while D160 was outstanding. Rent for 2010 was
Answer
(C)
D920
21
Which of the following is not an input device?
Answer
(D)
line partnership
22
The equivalent of income and expenditure account in a trading concern is
Answer
(B)
profit and loss account
23
The term used to denote the capital of a not-for-profit making organization is
Answer
(D)
accumulated fund
24
The portion of authorized capital that has been allotted to subscribers
Answer
(C)
issued capital
25
Partners whose liabilities are restricted to their financial contribution to the partnership in the event of winding up are
Answer
(B)
limited partners
26
If creditors at 1\1\10 were Le 3,000; creditors at 31/12/10 Le 5,500 and payments to creditors Le 29,000. The purchases figure for 2010 is
Answer
(C)
Le 31,500
27
Which of the following is not found in the personal ledger?
Answer
(C)
capital account
28
The sales ledger control account is also referred to as
Answer
(C)
total debtors account
29
An increases in the provision for doubtful debts results is a\an
Answer
(C)
decrease in the net profit
30
Share of ₦3 nominal value were issued at a price ₦4. The difference of ₦1 is a
Answer
(C)
premium
31
Which of the following errors affects the agreement of a Trial balance?
Answer
(A)
wrong addition in the sales account
32
The excess of value of assets over the purchase consideration on acquisition of a business is credited to
Answer
(B)
goodwill account
33
Which of the following is not the purpose of a control account?
Answer
(D)
monitor the cash book
34
Which of the following is not part of the central processing unit of a computer?
Answer
(C)
input unit
35
The double entry to record the proceeds on disposal of assets in debit
Answer
(C)
provision for depreciation account; credit asset disposal account
36
Which of the following is a form of memorandum of association
Answer
(C)
object of the business
37
An underwriter for a company's share is paid
Answer
(B)
commision
38
Administrative, selling and distribution expenses in a manufacturing firm are recorded in
Answer
(C)
profit and loss account
39
Which of the following is not a revenue to a local government?
Answer
(C)
personal ncome tax
40
Which of the following is not an item in the profit and loss account?
Answer
(A)
drawings
41
A loss made on the disposal of a fixed assets is debited to
Answer
(C)
profit and loss account
42
Use the following information to answer the given question
\(\begin{array}{c|c} & D \\ \hline \text{Cash in hand}& 1,440\\ \text{Cash at bank} & 2440\\ \text{Stock} & 2,500\\ \text{Furniture and fittings} & 2,200 \\ \text{Creditors} & 1,000\end{array}\)
The capital is
Answer
(A)
D1,440
43
Use the following information to answer the given question
\(\begin{array} {c|c} & D \\ \hline \text{Cash in hand}& 1,440\\ \text{Cash at bank} & 2440\\ \text{Stock} & 2,500\\ \text{Furniture and fittings} & 2,200 \\ \text{Creditors} & 1,000\end{array}\)
The liability is
Answer
(D)
D1,000
44
Use the following information to answer the given question
\(\begin{array}{c|c} & Le\\ \hline \text{Construction and hospital wards} & 300,000\\ \text{purchase of hospital beds} & 40,000 \\ \text{salaries and wages}& 80,000\\ \text{Purchase of drugs} & 55,000\\ \text{purchases of x-ray machine} & 150,000\end{array}\)
Capital expenditure for the year was
Answer
(B)
Le 490,000
45
\(\begin{array}{c|c} & Le\\ \hline \text{Construction and hospital wards} & 300,000\\ \text{purchase of hospital beds} & 40,000 \\ \text{salaries and wages}& 80,000\\ \text{Purchase of drugs} & 55,000\\ \text{purchases of x-ray machine} & 150,000\end{array}\)
The amount of recurrent expenditure was
