In departmental accounting, which is not a transfer pricing_________
- A. cost based transfer price
- B. market based transfer pricing
- C. Dual pricing system
- D. peak pricing
When goods are sent to branch at cost plus mark up, it means that the branch should sell at_____________
- A. Price above or below the stipulated price
- B. Any price but not below the transfer price
- C. Cost price
- D. A price that is equal to the mark up
Which of the following methods of invoicing goods to branches facilitate easy checks on the activities of branches?
- A. Selling price
- B. Fixed percentage on cost
- C. Cost price
- D. Invoice price
| |
|
|
Stock at branch 1st January at cost |
400 |
|
Goods sent to branch at cost |
8000 |
|
Returns to head office |
340 |
|
Cash sales |
9160 |
|
Stock at branch 31st December at cost |
720 |
Use the information below to answer the question.
Adex Ltd. Issues stock to its retail branches at cost price. The following particulars relate to Ede branch.
- A. #1870
- B. #1530
- C. #1640
- D. #1820
The amount paid by the new partner on admission as a compensation for the reputation built up by old partners is a
- A. Bonus
- B. Good will
- C. Premium
- D. Commission
Use the information below to answer the question
| Liabilities ₦ | Assets ₦ |
| Capital 40,000 | Furnishing 10,000 |
| Ceiling Fan 1,500 | |
| Cash in Hand 28,500 | |
| 40,000 | 40,000 |
If at 31/1/95 the following information was ascertained;
(i). rent for shop #12,000 paid for the year
(ii). Total purchases #15,000
(iii). Total sales #8,200
(iv). Stock of goods left #10,000
(v). paid sales boy #500
If at 31/1/95 the following information was ascertained;
(i). rent for shop #12,000 paid for the year
(ii). Total purchases #15,000
(iii). Total sales #8,200
(iv). Stock of goods left #10,000
(v). paid sales boy #500
What is the balance on its cash account as at 31/1/95
- A. #22,800
- B. #9,200
- C. #800
- D. #21,200
Profit or loss in a partnership is usually arrived at after deducting from gross profit all expenses including____________
- A. Partners salaries
- B. Interest on capital
- C. Interest on loans
- D. Partners drawings
In reconciling the branch and head office accounts, remittance in transit in the branch books is treated as a_____________
- A. Debit entry
- B. Contra entry
- C. Credit entry
- D. Reversal entry
Which of the following is not a type of branch?
- A. Dependent branch
- B. foreign branch
- C. independent branch
- D. single branch
Why are adjustments in the profit and loss account necessary?
- A. To cover some expenses of the following year
- B. To show the provisions made during the year
- C. To show the total expenses paid and income received during the year
- D. To ascertain the actual expenses incurred and income earned during the year
Calls in advance are treated in the balance sheet as_______
- A. Current asset
- B. Fixed asset
- C. Current liability
- D. Fixed liability
Ade, Tony, Rose share profit and losses in the ratio of 3 : 2 : 1 respectively. Ade retires and the remaining partners decide to take Ade’s share in the existing ratio. What is the new ratio?
- A. 1 : 1
- B. 3 : 6
- C. 2 : 1
- D. 2 : 6
Gross profit in the branch adjustment account is transferred to the branch____________
- A. Income and expenditure account
- B. profit and loss account
- C. receipt and payment account
- D. trading account
If the purchase price exceeds the net assets of a company, the excess amount is debited to________________
- A. Cash account
- B. purchase account
- C. goodwill account
- D. sales account
In the head office ledger, the value of goods sent to the branch are____________
- A. Debited to the branch current account
- B. Debited to the head office current account
- C. Credited to the head office current account
- D. Credited to the branch current account
Use the information below to answer the question
| Liabilities ₦ | Assets ₦ |
| Capital 40,000 | Furnishing 10,000 |
| Ceiling Fan 1,500 | |
| Cash in Hand 28,500 | |
| 40,000 | 40,000 |
If at 31/1/95 the following information was ascertained
(i). rent for shop #12,000 paid for the year
(ii). Total purchases #15,000
(iii). Total sales #8,200
(iv). Stock of goods left #10,000
(v). paid sales boy #500
What is the new balance sheet total as at 31/1/95?
- A. #40,000
- B. #41,500
- C. #41,700
- D. 48,500
When goodwill is not retained in the business, the entries in the new partners books will be to debit______________
- A. Goodwill account and credit partners capital account
- B. Cash account and credit goodwill account
- C. Goodwill account and credit cash account
- D. Partners capital account and credit goodwill account
The amount called in respect of a share but not paid before or on the date fixed for payment is referred to as:
- A. Call in advance
- B. call in arrears
- C. forfeiture
- D. shares
Use the information below to answer question
Trading account for the year ended 31st December 2009
| ₦ | ₦ |
| Opening Stock 32,000 | Sales 48,000 |
| Purchases 40,000 | Less Return 2,000 |
| Carriage inwards 1,000 | |
| 41,000 | |
| Less Return 2,000 39,000 | |
| Cost of goods available ?? | |
| Less closing stock 9,000 | |
| Cost of goods sold ?? |
Calculate the cost of goods sold
- A. #61,000
- B. #62,000
- C. #58,000
- D. #57,000
Use the information below to answer question
Trading account for the year ended 31st December 2009
| ₦ | ₦ |
| Opening Stock 32,000 | Sales 48,000 |
| Purchases 40,000 | Less Return 2,000 |
| Carriage inwards 1,000 | |
| 41,000 | |
| Less Return 2,000 39,000 | |
| Cost of goods available ?? | |
| Less closing stock 9,000 | |
| Cost of goods sold ?? |
- A. #20,500
- B. #23,000
- C. #28,000
- D. #27,000
The office responsible for ascertaining whether all public expenditures and appropriations are in line with approved guidelines is the________
- A. Accountant general
- B. Finance minister
- C. Auditor general
- D. Permanent secretory.