The following balances were extracted from the books of Onuoha, a trader on 31st December 2005
| Audit fee | 12000 |
| General expenses | 30000 |
| Purchases | 70000 |
| Commission paid | 30000 |
| Stock (1 – 01 – 2005) | 10000 |
| Stock ( 31 – 12 – 2005) | 15000 |
| Sales | 120000 |
The gross profit is
- A. #35,000
- B. #45,000
- C. #55,000
- D. #25,000
The following balances were extracted from the books of Adama Ltd on 31st August 2007
| # | |
|
Sales |
200000 |
|
Drawings |
10000 |
|
Land and building |
70000 |
|
Furniture |
10000 |
|
Debtors |
50000 |
|
Creditors |
35000 |
|
Capital |
85000 |
|
Bank |
10000 |
|
General expenses |
10000 |
|
Stock ( 31-08-2007) |
10000 |
|
Purchases |
140000 |
|
Stock (1-09- 2006) |
20000 |
The current ratio is
- A. 3:1
- B. 2:1
- C. 1:1
- D. 1.2:1
The following balances were extracted from the books of Adama Ltd on 31st August 2007
| # | |
|
Sales |
200000 |
|
Drawings |
10000 |
|
Land and building |
70000 |
|
Furniture |
10000 |
|
Debtors |
50000 |
|
Creditors |
35000 |
|
Capital |
85000 |
|
Bank |
10000 |
|
General expenses |
10000 |
|
Stock ( 31-08-2007) |
10000 |
|
Purchases |
140000 |
|
Stock (1-09- 2006) |
20000 |
The gross profit is
- A. #40,000
- B. #50,000
- C. #70,000
- D. #60,000
The following balances were extracted from the books of Adama Ltd on 31st August 2007
| # | |
|
Sales |
200000 |
|
Drawings |
10000 |
|
Land and building |
70000 |
|
Furniture |
10000 |
|
Debtors |
50000 |
|
Creditors |
35000 |
|
Capital |
85000 |
|
Bank |
10000 |
|
General expenses |
10000 |
|
Stock ( 31-08-2007) |
10000 |
|
Purchases |
140000 |
|
Stock (1-09- 2006) |
20000 |
Total fixed assets is
- A. #70,000
- B. #150,000
- C. #165,000
- D. #80,000
The following balances were extracted from the books of Adama Ltd on 31st August 2007
| # | |
|
Sales |
200000 |
|
Drawings |
10000 |
|
Land and building |
70000 |
|
Furniture |
10000 |
|
Debtors |
50000 |
|
Creditors |
35000 |
|
Capital |
85000 |
|
Bank |
10000 |
|
General expenses |
10000 |
|
Stock ( 31-08-2007) |
10000 |
|
Purchases |
140000 |
|
Stock (1-09- 2006) |
20000 |
Percentage of net profit to sale is
- A. 10%
- B. 40%
- C. 30%
- D. 20%
The following balances was extracted from the books of Oluwalambe Ltd, manufacturer, on 31st December 2007
| Stock of raw materials 1 – 1 – 2007 | 8000 |
|
Purchase of raw materials |
450000 |
|
Stock of raw materials 31 – 12 – 2007 |
95000 |
|
Direct wages |
65000 |
|
Indirect wages |
28000 |
|
Depreciation on plants |
32000 |
|
Factory rent |
3500 |
|
Work in progress 1- 1- 2007 |
32500 |
|
Work in progress 31 – 12- 2007 |
37500 |
Cost of goods produced is
- A. #520,000
- B. #530,000
- C. #558,500
- D. #559,000
The following balances was exgtracted from the books of Oluwalambe Ltd, manufacturer, on 31st December 2007
| Stock of raw materials 1 – 1 – 2007 | 8000 |
|
Purchase of raw materials |
450000 |
|
Stock of raw materials 31 – 12 – 2007 |
95000 |
|
Direct wages |
65000 |
|
Indirect wages |
28000 |
|
Depreciation on plants |
32000 |
|
Factory rent |
3500 |
|
Work in progress 1- 1- 2007 |
32500 |
|
Work in progress 31 – 12- 2007 |
37500 |
Factory overhead cost is
- A. #63,500
- B. #68,500
- C. #58,500
- D. #12,800
The following balances was exgtracted from the books of Oluwalambe Ltd, manufacturer, on 31st December 2007
| Stock of raw materials 1 – 1 – 2007 | 8000 |
|
Purchase of raw materials |
450000 |
|
Stock of raw materials 31 – 12 – 2007 |
95000 |
|
Direct wages |
65000 |
|
Indirect wages |
28000 |
|
Depreciation on plants |
32000 |
|
Factory rent |
3500 |
|
Work in progress 1- 1- 2007 |
32500 |
|
Work in progress 31 – 12- 2007 |
37500 |
The prime cost is
- A. #500,000
- B. #527,500
- C. #530,000
- D. #463,000
| # | # | |
|
Debtors |
2000 | 6000 |
|
Stock |
1000 | 1300 |
|
Discount allowed |
500 | |
|
Cash received from debtors |
10000 |
Sales for the year is
- A. #14,000
- B. #10,500
- C. #14,500
- D. #16,500
| # | |
|
Stock 1/1/09 |
2200 |
|
Purchases |
18000 |
|
Sales |
27000 |
|
Salaries |
1500 |
|
Rejection in doubtful debts |
500 |
|
Office expenses |
1100 |
|
Other expenses |
1300 |
|
Stock 31/12/09 |
1000 |
The total expenses is
- A. #3,900
- B. #3,800
- C. #4,400
- D. #3,400
| # | |
|
Stock 1/1/09 |
2200 |
|
Purchases |
18000 |
|
Sales |
27000 |
|
Salaries |
1500 |
|
Rejection in doubtful debts |
500 |
|
Office expenses |
1100 |
|
Other expenses |
1300 |
|
Stock 31/12/09 |
1000 |
The net profit is
- A. #3,400
- B. #4,400
- C. #3,900
- D. #3,800
| # | |
|
Stock 1/1/09 |
2200 |
|
Purchases |
18000 |
|
Sales |
27000 |
|
Salaries |
1500 |
|
Rejection in doubtful debts |
500 |
|
Office expenses |
1100 |
|
Other expenses |
1300 |
|
Stock 31/12/09 |
1000 |
The cost of goods sold is
- A. #21,200
- B. #20,200
- C. #19,200
- D. #18,800
The following extracts are made from the books of Agama Enterprises.
|
Motor van (cost) |
120000 |
|
Life span |
4 years |
|
rate of Depreciation |
40% |
Method of depreciation used is Diminishing Balance The depreciation charge for year two is
- A. #28,800
- B. #48,000
- C. #17,280
- D. #10,370
The following extracts are made from the books of Agama Enterprises.
|
Motor van (cost) |
120000 |
|
Life span |
4 years |
|
rate of Depreciation |
40% |
Method of depreciation used is Diminishing Balance The scrap value of the asset at the end of year four is
- A. #15,552
- B. #10,368
- C. #10,375
- D. #17,280
Purchase Ledger Control Account
| # | # | ||
|
Cash paid to debtors |
15000 | Balance c/d | 5000 |
|
Bills payable |
3000 | Purchase journal | 30000 |
|
Discount receive |
2500 |
|
|
|
Return outward |
1500 | ||
|
Sales ledger |
1200 | ||
|
Balance c/d |
11800 | ||
| 35000 | 35000 |
The balance of #11,800 represents the amount
- A. of balance required
- B. of purchases made
- C. receivable from creditor
- D. payable to the creditor
Purchase Ledger Control Account
| # | # | ||
|
Cash paid to debtors |
15000 | Balance c/d | 5000 |
|
Bills payable |
3000 | Purchase journal | 30000 |
|
Discount receive |
2500 |
|
|
|
Return outward |
1500 | ||
|
Sales ledger |
1200 | ||
|
Balance c/d |
11800 | ||
| 35000 | 35000 |
The amount #30,000 represents
- A. cash purchases
- B. cash paid to supplier
- C. credit purchases
- D. amount due from supplier
Purchase Ledger Control Account
| # | # | ||
|
Cash paid to debtors |
15000 | Balance c/d | 5000 |
|
Bills payable |
3000 | Purchase journal | 30000 |
|
Discount receive |
2500 |
|
|
|
Return outward |
1500 | ||
|
Sales ledger |
1200 | ||
|
Balance c/d |
11800 | ||
| 35000 | 35000 |
The item sales ledger #1,200 represents
- A. cash paid to supplier
- B. amount due from suppliers
- C. cash purchases
- D. credit purchase
Ifedapo Local Council has the following details for 2008
| # | |
| Fines | 5000 |
|
Allocation from state government |
20000 |
|
Tenement rates |
10000 |
|
Licences |
12000 |
|
Hospital beds |
8000 |
|
Ambulance |
13000 |
|
Salaries |
15000 |
|
Vehicles fueling |
7000 |
The Local Council’s revenue for 2008 was
- A. #47,000
- B. #37,000
- C. #42,000
- D. #27,000
Ifedapo Local Council has the following details for 2008
| # | |
| Fines | 5000 |
|
Allocation from state government |
20000 |
|
Tenement rates |
10000 |
|
Licences |
12000 |
|
Hospital beds |
8000 |
|
Ambulance |
13000 |
|
Salaries |
15000 |
|
Vehicles fueling |
7000 |
The council’s expenditure for the year was
- A. #43,000
- B. #35,000
- C. #30,000
- D. #22,000
Ifedapo Local Council has the following details for 2008
| # | |
| Fines | 5000 |
|
Allocation from state government |
20000 |
|
Tenement rates |
10000 |
|
Licences |
12000 |
|
Hospital beds |
8000 |
|
Ambulance |
13000 |
|
Salaries |
15000 |
|
Vehicles fueling |
7000 |
The council’s expenditure was
- A. #28,000
- B. #21,000
- C. #20,000
- D. #13,000
The value of assets on dissolution of partnership is debited to realization account and credited to ___ account
- A. bank
- B. asset
- C. dissolution
- D. cash