85
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
86
| N | N |
| Capital 39,000 | Land 20,000 |
| Long Term Loan 15, 000 | Building 30,000 |
| Creditors 9,000 | Stock 40,000 |
| Debtors 6,000 | |
| Accrued wages 5,000 | Cash 8, 000 |
| 68,000 | 68,000 |
Use the information above to answer the question
: The acid test ratio in the company is___________
- A. 1:1
- B. 2:3
- C. 1:2
- D. 3:2
87
Advertising expenses incurred on a product in a business organization should be charged to
- A. Sales department
- B. Production department
- C. Purchase department
- D. Administration department
88
What is the amount of capital employed?
- A. ₦7000
- B. ₦10000
- C. ₦22000
- D. ₦15000