Use the following to answer the given question
Creditors Control Account:
\(\begin{array}{c|c} & & & N \\ \hline Bank & \text{“X”} & \text{Balanxe b/d} & 1,200 \\ Discount & 30 & \text{“Y”} & 1,800 \\ \text{Balance c/d} & 450 & & \\ \hline & & & & \hline \end{array}\)
“Y” represents
- A. sales
- B. purchases
- C. returns outwards
- D. return inwards
- E. discount allowed
Use the following to answer the given question
Creditors Control Account:
\(\begin{array}{c|c} & & & N \\ \hline Bank & \text{“X”} & \text{Balance b/d} & 1,200 \\ Discount & 30 & \text{“Y”} & 1,800 \\ \text{Balance c/d} & 450 & & \\ \hline & & & & \hline \end{array}\)
How much “X” ?
- A. N3,480
- B. N2,520
- C. N1,800
- D. N1,320
- E. N1,200
Which of the following is not a revenue receipt?
- A. Receipt from sales of goods
- B. Rent from premises sublet
- C. Interest on savings account
- D. cash on sale of fixed asset
- E. Receipt from trade debtors
Which of the following serves the same purpose as a Trading Account?
- A. Branch Adjustment Account
- B. Goods sent to Branch Accout
- C. Branch Stock Account
- D. Branch Debtors Account
- E. Branch Returns Account
When a share is sold for less than its nominal value, the difference is called
- A. discount
- B. reserve
- C. premium
- D. loss
- E. goodwill
Use the following information to answer this question
A business whose assets consisted of stock N15,000 and debtors N8,000 was bought by issuing 20,000 ordinary shares of N1 each at a premium of 20 percent.
The amount of goodwill was
- A. N4,000
- B. N3,000
- C. N2,000
- D. N1,6000
- E. N1,000
Use the following information to answer this question
A business whose assets consisted of stock N15,000 and debtors N8,000 was bought by issuing 20,000 ordinary shares of N1 each at a premium of 20 percent.
The purchase consideration was
- A. N24,000
- B. N23,000
- C. N20,000
- D. N15,000
- E. N8,000
Which of the following is a factory overhead?
- A. carriage on raw materials
- B. purchase of raw materials
- C. production wages
- D. direct expenses
- E. depreciation of factory equipment
Rent receivable is a
- A. current asset
- B. current liability
- C. contingent liability
- D. ficititous asset
- E. provision
Where there are no proper books of account , the capital at the commencement of a period is ascertained by preparing
- A. Total Debtors and Creditors Accounts
- B. Bank Reconciliation Statement
- C. Statement of Affairs
- D. Trading, Profit and Loss Accounts
- E. Balance Sheet
Which of the following best described the path of a transaction?
- A. Source documents to Journal to Ledger
- B. Source documents to Ledger to Journal
- C. Journal to Ledger to source documents
- D. Journal to source documents to Ledger
- E. Ledger to Joural to source documents
The amount of a company’s profit given to a shareholder is known as
- A. premium
- B. dividend
- C. insterst
- D. allotment
- E. warrant
The person who is responsible for the formation of a company is called the
- A. promoter
- B. dividend
- C. shareholder
- D. director
- E. subscriber
The amount for which a business is sold is known as
- A. goodwill
- B. capital reserve
- C. purchase consideration
- D. premium
- E. equity
An expense becomes an accrual because it
- A. is due for payment
- B. is a Profit and Loss Account item
- C. is a Trading Account item
- D. is to be paid within the next one year
- E. must appear in the balance sheet
Use the following information to answer this question
Kudi Local Government Council incurred the following expenditure in 1995:
N
Payment of salaries 140,000
Purchase of drugs for dispensaries 80,000
Purchase of books for Library 30,000
Sinking of wells 70,000
Extension of Council offices 160,000
The amount of revenue expenditure for 1995 was
- A. N26,000
- B. N230,00
- C. N220,000
- D. N160,000
- E. 140,000
Use the following information to answer the given question
Kudi Local Government Council incurred the following expenditure in 1995:
\(\begin{array}{c|c} & N \\ \hline \text{Payment of salaries} & 140,000 \\ \text{Purchase of drugs for dispensaries} & 80,000 \\ \text{Purchase of books for Library} & 30,000 \\ \text{Sinking of wells} & 70,000 \\ \text{Extension of Council offices} & 160,000 \end{array}\)
The amount of capital expenditure for 1995 was
- A. N260,000
- B. N230,000
- C. N220,000
- D. N160,00
- E. N140,000
A cash discount is a
- A. Trading Account item
- B. Profit and Loss Account item
- C. Appropriation Account item
- D. Receipts and Payments Account item
- E. Balance Sheet item.
A provision is
- A. an expense of business to be paid for in cash
- B. an amount of loss from trading activities
- C. a loss in value of all business assets
- D. an expense the amount of which is not certain
- E. an amount set out of profit for other uses
Which of the following is not a personal account?
- A. Bolaji Account
- B. Drawings Account
- C. P.Z. Plc Account
- D. Cash Account
- E. Acada Club Account?
An item is fictitious because it
- A. does not exist
- B. is too costly
- C. is worthless
- D. cannot be sold for cash
- E. is bought on credit