The entries for credit sales at branch where the head office keeps all records are:Debit
- A. Branch stock account; credit branch debtors account
- B. Branch debtors account; credit branch stock account
- C. Branch debtors account; credit branch adjustment account
- D. Branch adjustment account; credit branch debtors account
Use the following information and answer the question below.
Oruma Ltd issued 300,000 ordinary shares at N100 each. Applications were received for 200,000 shares and all those who applied, paid in full.
The authorized share capital is
- A. N300,000
- B. N250,000
- C. N200,000
- D. N150,000
Use the following information and answer the question below.
Oruma Ltd issued 300,000 ordinary shares at N100 each. Applications were received for 200,000 shares and all those who applied, paid in full.
The unsubscribed share capital is
- A. N300,000
- B. N250,000
- C. N200,000
- D. N150,000
Use the following information and answer the question below.
Oruma Ltd issued 300,000 ordinary shares at N100 each. Applications were received for 200,000 shares and all those who applied, paid in full.
The subscribed share capital is
- A. N300,000
- B. N250,000
- C. N200,000
- D. N150,000
When allotments have been fully paid, subscribers are referred to as
- A. Allotters
- B. Applicants
- C. Non-members
- D. Shareholders
In preparing partnership accounts, interest on drawings is debited to current accounts and credited to
- A. Capital account
- B. Appropriation account
- C. Drawings account
- D. Profit and loss account
In the absence of a partnership agreement, additional capital contributions by partners attract interest of
- A. 5%
- B. 10%
- C. 12%
- D. 15%
Where fixed capitals are maintained in a partnership, share profits are
- A. Credited to partners capital accounts
- B. Credited to partners current accounts
- C. Debited to partners capital accounts
- D. Debited to partners current accounts
The concept which states that the affairs of a business is to be treated as being separate from the private activities of the owner is
- A. Realization concept
- B. Business entity concept
- C. Cost concept
- D. Dual aspect concept
Purchases of fixtures and fittings by a club is recorded in the
- A. Receipts and payments account only
- B. Income and expenditure only
- C. Receipts and payments account and balance sheet
- D. Income and expenditure account and balance sheet
Which of the following is a credit item in an income and expenditure account?
- A. Electricity
- B. Donations
- C. Stationery
- D. Bar suppliers
Offei, a petty trader sold goods for GH¢36,240. The gross profit being 33\(\frac{1}{3}\)% on cost. What was the cost price?
- A. GH¢45,300
- B. GH¢28,992
- C. GH¢27,180
- D. GH¢24,160
Use the following information to answer this question.
Cash purchase – D 29,641
Creditors 1/1/14 – D 2,473
Creditors 31/12/14 – D 3,117
Cash paid to creditors – D 127,345
Discount received – D 4,211
The total purchases is
- A. D 161,841
- B. D 156,986
- C. D 134,673
- D. D 132,200
Use the following information to answer this question.
Cash purchase – D 29,641
Creditors 1/1/14 – D 2,473
Creditors 31/12/14 – D 3,117
Cash paid to creditors – D 127,345
Discount received – D 4,211
The credit purchases is
- A. D 161,841
- B. D 156,986
- C. D 134,673
- D. D 132,200
Partly manufactured goods are treated in the balance sheet of a manufacturing company as
- A. Current assets
- B. Fixed assets
- C. Current liabilities
- D. Long term liabilities
Which of the following expenses constitutes prime cost?
I. Direct labour cost II. Factory overheads III. Hiring of machine for production IV. Warehouse rent
- A. I and II only
- B. I and III only
- C. I, II and III only
- D. I,II and IV only
Use the following information to answer this question.
Acquisition cost of computers – Le 80,000
Installation cost – Le 20,000
Estimated residual value – Le 4,000
Estimated useful life – 5 years.
The total costs of the computers is
- A. Le 80,000
- B. Le 96,000
- C. Le 100,000
- D. Le 104,000
Use the following information to answer this question.
Acquisition cost of computers – Le 80,000
Installation cost – Le 20,000
Estimated residual value – Le 4,000
Estimated useful life – 5 years.
The depreciable value of computers is
- A. Le 80,000
- B. Le 96,000
- C. Le 100,000
- D. Le 104,000
Which of the following would result from an increase in the provision for doubtful debts?
- A. A Decrease in gross profit
- B. A decrease in net profit
- C. An increase in gross profit
- D. An increase in net profit
Use the following information to answer this questions.
Rent prepaid – 1/01/2014 – N600
Rent paid – 31/12/2014 – N3,000
Rent prepaid – 31/12/2014 – N400.
The balance sheet as at 31st December 2014 will show
- A. Current asset of N600
- B. Current asset of N400
- C. Current liability of N400
- D. Current asset of N600
Use the following information to answer this questions.
Rent prepaid – 1/01/2014 – N600
Rent paid – 31/12/2014 – N3,000
Rent prepaid – 31/12/2014 – N400.
Rent for 2014 chargeable to the profit and loss account is
- A. N4,000
- B. N3,000
- C. N3,200
- D. N2,800