From the following, determine the value of the closing stock using:
Feb 1 purchased 200 units @ ₦2.00 each
Feb 3 purchased 100 units @ ₦1.00 each
Feb 4 issued 120 units @ ₦2.00 each
Feb 5 purchased 50 units @ ₦3.00 each
Feb 6 issued 80 units @ ₦2.00 each
Feb 6 issued 20 units @ ₦1.00 each
- A. 330
- B. 420
- C. 230
- D. 320
In the preparation of account, the owners of the business and the business concerned are treated as:
- A. partners
- B. joint venture
- C. the same person
- D. separate legal entities
Capital at start was ₦250,000, while capital at the end of the year was ₦400,000. Drawings during the year amounted to ₦15,000. What is the profit?
- A. ₦165,000
- B. ₦635,000
- C. ₦600,000
- D. ₦156,000
One of the limitations of accounting is that
- A. it ascertain financial position
- B. it prevent fraud
- C. transactions are recorded in monetary terms
- D. it monitor the progress of the enterprise
Given:
|
Fixed assets Liabilities Current assets |
₦ 55,000 20,000 13,000 |
What is the capital?
- A. ₦88,000
- B. ₦48,000
- C. ₦62,000
- D. ₦55,000
The objective of departmentalization is to
- A. ensure that departmental managers are adequately monitored
- B. record transactions for each department for better documentation
- C. tackle any recording problem as a result of expansion
- D. evaluate the profit of different departments
A company goods sent to branch at invoiced price is ₦30,870 at cost plus 25%. The mark-up is
- A. ₦20,000
- B. ₦6,000
- C. ₦6,174
- D. ₦10,000
One of the objective of maintaining the account of a branch at the head office is to
- A. to access the performance of the branches
- B. check the excesses of customers
- C. record charges in shareholdings
- D. record charges in liabilities
The instrument isued by the Minister who authorized an officer to incure expenditure is a/an
- A. warrant
- B. budget
- C. imprest
- D. consolidated fund
An officer that is charged with the responsibility of carrying out investigations on the book of accounts to show the true and fair view is
- A. Ministry of Finance
- B. Accountant General
- C. Revenue office
- D. Auditor General
Which of the following cannot depreciate?
- A. plant and machinery
- B. motor van
- C. premises
- D. land
Which of the following is not charged to the manufacturing account?
- A. Direct expenses
- B. Factory wages
- C. Distribution expenses
- D. Raw materials
The manufacturing account is prepared to ascertain
- A. cost of goods sold
- B. cost of production
- C. Gross profit
- D. Finished goods
In the preparation of statement of profit, if the opening capital is greater than closing capital, there will be
- A. profit
- B. capital
- C. loss
- D. cash
Use the information to answer this question
Payment to creditors ₦12,250
Creditors at start ₦550
Creditors at end ₦830
What is the creditors amount in the balance sheet?
- A. ₦550
- B. ₦12,250
- C. ₦12,530
- D. ₦830
Use the information to answer this question
Payment to creditors ₦12,250
Creditors at start ₦550
Creditors at end ₦830
What us the amount of purchase
- A. ₦11,970
- B. ₦11,000
- C. ₦1,250
- D. ₦12,053
Given:
|
Equipment Motor Vehicle Loan Creditors Sub in advance Sub in arrears |
₦ 10,000 15,000 4,500 3,000 150 3500 |
What is the accumulated fund?
- A. ₦14,150
- B. ₦20,850
- C. ₦21,850
- D. ₦14,200
The similarities between Receipts and payments and income and expenditure account is
- A. Both accounts follows the principle of double entry
- B. They are summaries of financial statements
- C. Both include capital items
- D. Both are prepared by non-profit making concern
In a non-profit making organisation, the excess of Assets over liabilities equals
- A. capital
- B. capital employed
- C. capital owned
- D. accumulated funds
In the absence of partnership agreement, a loan by a partner attracts interest at
- A. 20%
- B. 5%
- C. 10%
- D. 15%
Where there is no agreement made by the partners, the following provisions takes place except
- A. No salary for partners acting in the business
- B. There is interest on capital
- C. No interest to be charged on drawings
- D. Profit and loss are to be shared equally