Use the following information to answer this question
The following are the final accounts of a trading organisation Wazobi ventures, for the year ended 30th June, 19×8
| ₦ | ₦ | |
| Sales less: cost of goods sold |
233,000 170,000 |
|
| 63,000 | ||
| less: Overhead Expenses Admin expenses Selling expenses Other overhead expenses |
16,800 15,000 6,200 |
|
| Net profit | 25,000 |
What is the Gross Profit on percentage of sale?
- A. 2.7%
- B. 0.27%
- C. 27.0%
- D. 29.8%
If only wages is shown on the trial balance, it should be charged to the
- A. profit and loss account
- B. trading account
- C. balance sheet
- D. wages account
Goods were purchased for resale on credit costing ₦150,000 on 30th September 2008 from Tosanwumi International. The entry to record these transaction is debit
- A. Tosanwumi International, credit purchase Account
- B. Purchase Account ₦150,000, credit Tosanwumi International Account ₦150,000
- C. Credit Account ₦150,000, Credit Tosanwumi International ₦150,000
- D. Tosanwumi International ₦150,000, credit credit Account ₦150,000
Accounts can be classified into
- A. cash and credit transactions
- B. cash and credit accounts
- C. personal and private account
- D. personal and impersonal account
The advantage of double entry is that
- A. it is easy to prepare the final account
- B. it increase assets
- C. has cash and bank column
- D. It disburses cash
A statement in a double-entry system in which are recorded all the transactions of one specific class, which takes place during the period is called
- A. Double entry system
- B. Ledger
- C. Cash Book
- D. Petty Cash Book
Show how the following transaction will be recorded applying the double-entry principle:
Rent ₦50,000 was paid by Mr. Roi to his landlord on 1st July 2017 by cheque.
- A. Dr Rent A/c; Dr Bank A/c
- B. Dr Bank A/c; Cr Rent A/c
- C. Dr Rent A/c; Cr Bank A/c
- D. Dr Rent A/c; Cr Mr. Roi
Transactions are recorded or posted to the ledger in line with
- A. Accounting Concept
- B. Source document
- C. Double Entry Principle
- D. Data collection