Which of the following errors are errors of commission?
I. A cheque paid to Adam debited to Adam’s account.
II. Credit sales to Eva credited to sales account but debited to Eve’s account.
III. Furniture repairs debited to furniture account.
IV. Credit purchases from Manu credited to Manu’s account.
- A. I and II
- B. I and IV
- C. II and IV
- D. III and IV
Nwoye buys stock and pays by cheque. The entries in the books of Nwoye is Debit
- A. Purchases; Credit cheque
- B. Purchases; Credit bank
- C. Bank; Credit Purchases
- D. Cheque; Credit Purchases
Which of the following are impersonal accounts ?
I. Investment
II. Creditors
III. Premises
IV. Debtors
V. Salaries
- A. I, III and IV
- B. I, III and V
- C. II and IV
- D. III and V
Every asset should have
- A. a non-monetary value
- B. tangible and intangible qualities
- C. monetary cost and future benefit
- D. an inadequate monetary value
External users of accounting information include
- A. employees
- B. management
- C. banks
- D. directors
\(\begin{array}{c|c}
Creditors & 3,000 & 4,000 \\
\hline
Debtors & ___ & 6,000 \\
\hline
\text{Cash received from debtors} & ___ & 35,000 \\
\hline
\text{cash paid to suppliers} & ____ & 25,000 \\
\hline
\text{Discount allowed} & _____ & 4,000 \\
\hline
\text{Discount received} & _____ & 4,200 \\
\end{array}\)
What is the total purchase for the period?
- A. N30,200
- B. N30,000
- C. N25,000
- D. N31,200
\(\begin{array}{c|c}
Creditors & 3,000 & 4,000 \\
\hline
Debtors & ___ & 6,000 \\
\hline
\text{Cash received from debtors} & ___ & 35,000 \\
\hline
\text{cash paid to suppliers} & ____ & 25,000 \\
\hline
\text{Discount allowed} & _____ & 4,000 \\
\hline
\text{Discount received} & _____ & 4,200 \\
\end{array}\)
What is the total sales for the period?
- A. N37,000
- B. N36,000
- C. N35,000
- D. N40,500
A machine bought for N35,000 was estimated to have a life span of 5years with a scrap value of N9,000.
The yearly depreciation using the straight line method would be?
- A. N5,200
- B. N6,500
- C. N8,800
- D. N4,400
A machine bought for N35,000 was estimated to have a life span of 5years with a scrap value of N9,000.
If the scrap value is now N15,000. What will be the yearly depreciation using the straight line method.?
- A. N11,000
- B. N7,000
- C. N4,000
- D. N24,000
Alaka who owed Saka N15,000, settled his debt after deducting cash discount of 10%. To record the discount in the book of Saka, debit
- A. Saka's account and credit discount received account
- B. Alaka's account and credit discount received account
- C. Discount received account and credit Alaka's account
- D. Discount allowed account and credit Alaka's account
The difference between book keeping and accounting is that while
- A. book keeping interprets data, accounting records it
- B. book keeping is regarded as the language of the business accounting ascertians its strength and weakness
- C. book keeping records data accounting interprets it
- D. book keeping summaries information accounting communicatesit
Which of the following expenses relate to the profit and loss account of a manufacturing firm?
- A. Administrative overhead
- B. Direct labour
- C. Direct materials
- D. Work-in-progress
The objective of departmental account is to
- A. ascertain the amount of profits or losses for the enterprise
- B. ascertain the amount of profits or losses for each department
- C. ascertain the cost of running the organization
- D. offset the loss of each department
A business organization prepares departmental account in order to
- A. asertian the contribution of each department to the organization
- B. ascertain interdepartmental transfer
- C. build other branches
- D. know the number of departments in the organization
An increase in government expenditure within a year is taken care of by means of
- A. virement
- B. financial regulations
- C. supplementary estimate
- D. warrant
When the purchase consideration is lower ttan the net asset, the buyer has gained the advantage of
- A. capital reserve
- B. revenue reserve
- C. net income
- D. net loss
Which of the following is accounted for in receipts and payments account?
- A. Accrued expenses on annual dances
- B. Subscriptions due but not yet received
- C. interest on bank deposit
- D. Depreciation of the club house
Sundry debtors in the balance sheet of Onoja Bakery and Sons totaled #800,000. A provision for bad and doubtful debts.
Find the amount for sundry debtors after provision.
- A. #744,800
- B. #760,000
- C. #784,000
- D. #744,000
When stock is withdrawn for personal use, the accounting entries is to debit
- A. stock account credit drawings
- B. drawing account, credit stock account
- C. personal account credit cash account
- D. cash account, credit personal account
Purchases can be ascertained through the preparation of a
- A. stock account
- B. sales account
- C. total debtors control account
- D. total creditors control account
Clifford pays rent of #200 per month for premises, He paid #2,800 within the year. Compute the prepayment.
- A. #300
- B. #400
- C. #600
- D. #200