Goodwill can be introduced when
- A. the business suffers high loss
- B. the business is being expanded
- C. the partnership experience super profit
- D. a new member is admitted
The discount column on the left-hand side of cash book represents a discount
- A. received from a debtor
- B. allowed to a creditor
- C. allowed to a debtor
- D. received from a creditor
When expenses are paid on behalf of the venture, the accounting entries is to debit
- A. expenses account and credit bank account
- B. bank account and credit joint venture account
- C. joint venture account and credit bank account
- D. joint venture account and credit expenses account
An advantage of FIFO method of stock valuation is that
- A. it is calculated at the end of the year
- B. its flow of cost is in sequence with the flow of stock
- C. it is progressive in nature
- D. it serves as a control during inflation
Dr. Sales Ledger Control Account . Cr
| ₦ |
₦ |
||
| Bal b/f | 3,250 | Bal b/f | 125 |
| Sales | 19,075 | Bank | 16,387.50 |
|
Dishonoured cheque |
625 | Discount |
862.50 |
|
Stopped cheque |
250 | Returns inwards | 325 |
| Bal c/d | 230 | Set off | 900 |
| Bal c/d | 4740 | ||
| 23430 |
23430 |
||
| Bal b/d | 4740 | Bal b/d | 230 |
The amount ₦19,075 represents
- A. the double entry for the total sales account
- B. total sales for the month
- C. credit sales
- D. cash sales for the month
| ₦ |
₦ |
||
|
Bal. b/f |
3,250 | Bal. b/f. | 215 |
|
Sales |
19,075 | Bank |
16,387.50 |
|
Dishonoured cheque |
625 | Discount | 862.50 |
|
Stopped cheque |
250 | Returns inwards | 325 |
|
Bal c/d |
230 | Set off | 900 |
| Bal c/d |
4740 |
||
| 23,430 |
23430 |
||
|
Bal b/d |
4740 | Bal b/d | 230 |
Dr. Sales Ledger Control Account . Cr
The amount ₦16,378.50 described as “Bank” represents
- A. receipts from trade debtors only
- B. cash sales for the month including discount
- C. receipts from all debtors of the business
- D. cash sales for the month excluding discount
In manufacturing, depreciation of office machine is charged to
- A. trading account
- B. balance sheet
- C. appropriation account
- D. profit and loss account
Discount allowed is enjoyed by
- A. managers
- B. customers
- C. staff of the company
- D. suppliers
When starting with the cash book balance in preparing the bank reconciliation statement, the followings are added except
- A. uncredited cheque
- B. credit transfer
- C. dividend
- D. unpresented cheque
A double entry for a transaction that offsets one amount against another on both sides of the cashbook is a
- A. original entry
- B. contract entry
- C. prime entry
- D. contra entry
The main purpose of transaction file is?
- A. to record assets and liabilities
- B. to update income and expenses
- C. to make organization decision
- D. to update master files
The account where the profit are distributed to the partner in their profit sharing ratio in partnership
- A. appropriation account
- B. profit and loss account
- C. balance sheet
- D. trading account
An evidence of payment issued to a government ministry by a revenue collector is
- A. treasury card
- B. payment voucher
- C. treasury receipt
- D. receipt voucher
Which of these is not method of stock valuation?
- A. FIFO method
- B. Base method
- C. Standard method
- D. LIFO method
|
₦ |
|
|
Plant and Machinery |
190000 |
|
Motor Vehicle |
170000 |
| Stock | 60000 |
|
Current Liabilities |
50000 |
|
Purchase consideration |
40000 |
The goodwill is?
- A. ₦110,000
- B. ₦30,000
- C. ₦90,000
- D. ₦80,000
One of the options below have the same features as the profit and loss account in non-profit organization
- A. non profit account
- B. profit and loss account
- C. income and expenditure account
- D. receipts and payment account
Capital for a profit making organization is generated through
- A. gift
- B. donation
- C. shares
- D. subscription
Salaries in arrears is treated in the balance sheet as a
- A. current asset
- B. current liability
- C. long term liability
- D. fixed asset
Which of these is not a subsidiary books?
- A. sales day book
- B. purchase day book
- C. credit note
- D. return inward day book
The effect of transaction when cash is paid into the bank is?
- A. bank balance decrease and cash balance increase
- B. cash balance decrease and bank balance increase
- C. bank balance decrease and cash balance decrease
- D. cash balance increase and bank balance increase
Which of the following is used to service all operations of government?
- A. general reserve fund
- B. consolidated revenue fund
- C. special operational fund
- D. consolidated reserve fund