Accounts - Principles of Accounts JAMB, WAEC, NECO AND NABTEB Official Past Questions

The following information was extracted from the books of Daudu Manufacturing company for the year ended 31st December 2012.

Stock of goods 1st January 2012:
Raw materials——————8,000
Finished goods—————–28,000
Work-in-progress —————2,000
Purchases of raw materials—40,000
Carriage inwards——————1,000
Manufacturing wages———–100,000
Sales——————————- 390,000
Rent——————————–  50,000
Factory expenses————–   60,000
Royalties————————-      1500
Stock of goods – 31st December 2012
Raw materials———————–6,000
Finished goods———————26,000
Work-in-progress——————1,5000
Depreciation:
Machinery—————————-7,500
Delivery van————————- 1,280
Selling expenses —————— 3,000
Discount allowed——————- 1,500

Additional information:
i. Factory expenses prepaid amounted to D5,000
ii. Selling expenses accrued was D2,500
iii. Rent is apportioned between factory and selling department in the ratio 5:3 respectively.

You are required to prepare Manufacturing, Trading, and Profit and Loss Account for the year ended 31st December 2012.

The following information relates to the books of accounts of Adom Ltd.

                      Trading, profit, and loss account for the year ended 31st December 2014

                                                        Balance sheet as at 31st December 2014

You are required to calculate any six of the following
(a) Gross profit percentage 
(b) Net profit percentage 
(c) Return on capital employed 
(d) Current ratio
(e) Acid test ratio
(f) Rate of stock of turnover
(g) Working capital
(h) Shareholders fund 
(i) Liquid assets

The following is the receipt and payments account of Kayode social club for the year ended 31st December 2014.

Receipts and payments for the year ended 31st December 2014

Additional  Information;

i. Equipment was valued at N3,250 and furniture N1,550 on 31st December 2013
ii. Depreciation to be provided as follows:
Equipment N505
Furniture N55
iii. The following expenses were outstanding
 Salaries   N300
Transport  N100
Repairs     N250
iv. Subscriptions owing by members were as follows:
31st December 2013    N1,200
31st December 2014    N2,100
v. The balance in the bank deposit account at 31st December 2013 was N300

 You are required to prepare;

(a) Statement of affairs as at 31st December 2013.

(b) Subscription account for the year ended 31st December 2014.

(c) Income and Expenditure account for the year ended 31st December 2014

Momoh enterprise cashbook showed a debit balance of Le4,500 on December 31, 2014. Further examination revealed the following:

– A direct debit of Le350 for subscription had been paid by the bank
– Bank charges of Le500 had not been reflected in the cash book
– Payment settled by standing orders were omitted from the cash book; electricity bill Le70, insurance Le100 and medical bill Le120.
– A dividend of Le320 paid directly into the bank had not been entered in the cash book
– It was discovered that the cash book balance brought down was undercast by Le180.
– Cheques amounting to Le4,800 issued had not been presented for payment
– Cheques amounting to Le1990 paid into the bank had not yet been credited

You are required to prepare; 

(a) The revised cash book

(b) The bank reconciliation statement as at December 31, 2014

What is a general journal?

State six uses of the general journal

(a) What is depreciation of an asset?

(b) List three causes of depreciation.

(c) Explain the following methods of depreciation:

(i) straight line;
(ii) reducing balance;
(iii) revaluation.

(a) Outline three distinguished features of public and private companies.

(b) State three rights available to an ordinary shareholder.

(a) List four items each that are found on the
(i) credit side of the sales ledger control account;
(ii) debit side of the purchases ledger control account.

(b) List seven types of errors a trial balance will not reveal.

Which of the following errors will affect the agreement of the trial balance?

The financial statement which is an expression of the accounting equation is the

When a fixed asset is disposed off, the accounting entries to write off the asset are Debit

Debts that a firm is unable to recover are debited to bad debts account and credited to

A loan to a company under the company’s seal is

Assets which are readily convertible into cash are termed as

In the purchase of a business, a buyer has paid more than the value of the net assets of the business. The excess payment is referred to as

Which of the following expenses is apportioned between departments based on sales?

The total of the discounts received column in the three column cash book is?

The transfer of money from one sub-head to another in the public sector is

Which of the following is a source of local government revenue?

The cost of goods returned by branch to head office is debited

The branch current account records