The authority to transfer fund from one head to another within the same organization is called
- A. fund
- B. warrant
- C. vote
- D. virement
Which of the following is not charged to manufacturing account?
- A. raw materials
- B. factory wages
- C. direct expenses
- D. distribution expenses
The part of capital issued only at the time of liquidation of the company is
- A. issued capital
- B. called-up capital
- C. paid-up capital
- D. reserved capital
The journal has the following headings except
- A. date
- B. debit
- C. discount
- D. credit
In the absence of a partnership agreement, a loan given to the partnership by a partner attracts interest of
- A. 7 \(\frac{1} {2}\) %
- B. 5%
- C. 15%
- D. 10%
Which of the following is prepared to ascertain the trader’s capital under incomplete records?
- A. statement of affairs
- B. statement of capital and liabilites
- C. statement of complete records
- D. income statement
Dairo and Segun are in partnership sharing profits and losses in the ratio 2:3 respectively. The information below relates to their business for the year ended 31st December, 2018.
| Drawings: |
₦ |
| Dairo | 12000 |
| Segun | 18000 |
| Capital: | |
| Dairo | 120000 |
| Segun | 60000 |
– Interest on drawings 10%
– Interest on capital 5%
– Profit for the year ₦36,000
– Salary: Segun ₦10,000
Segun’s share of profit is
- A. ₦12,000
- B. ₦21,400
- C. ₦14,600
- D. ₦16,400
Dairo and Segun are in partnership sharing profits and losses in the ratio 2:3 respectively. The information below relates to their business for the year ended 31st December, 2018.
|
Drawings: |
₦ |
| Dairo | 12000 |
| Segun | 18000 |
| Capital | |
| Dairo | 120000 |
| Segun | 60000 |
– Interest on drawings 10%
– Interest on capital 5%
– Profit for the year ₦36,000
– Salary: Segun ₦10,000
The interest on Dairo’s drawings is
- A. ₦1,600
- B. ₦1,200
- C. ₦1,400
- D. ₦1,800
Which of the following is recorded in the folio column of the journal?
- A. particulars of transactions
- B. date of entries
- C. all credit and cash sales transactions
- D. amount of money posted
Bello withdraws cash from bank to office, this is called ———- entry
- A. credit
- B. contra
- C. double
- D. debit
Given:
I. Settlement of debts
II. Cessation of business
III. Introduction of assets
IV. Disposal of assets
Which of these constitutes dissolution of partnership?
- A. I,II and III only
- B. I,II and IV only
- C. II and IV only
- D. II and III and IV only
Which fund is used to meet unforeseen or urgent expenditure
- A. special fund
- B. contigencies fund
- C. general reserve fund
- D. consolidated reserve fund
Goodwill can be introduced when
- A. the business suffers high loss
- B. the business is being expanded
- C. the partnership experience super profit
- D. a new member is admitted
The discount column on the left-hand side of cash book represents a discount
- A. received from a debtor
- B. allowed to a creditor
- C. allowed to a debtor
- D. received from a creditor
When expenses are paid on behalf of the venture, the accounting entries is to debit
- A. expenses account and credit bank account
- B. bank account and credit joint venture account
- C. joint venture account and credit bank account
- D. joint venture account and credit expenses account
An advantage of FIFO method of stock valuation is that
- A. it is calculated at the end of the year
- B. its flow of cost is in sequence with the flow of stock
- C. it is progressive in nature
- D. it serves as a control during inflation
Dr. Sales Ledger Control Account . Cr
| ₦ |
₦ |
||
| Bal b/f | 3,250 | Bal b/f | 125 |
| Sales | 19,075 | Bank | 16,387.50 |
|
Dishonoured cheque |
625 | Discount |
862.50 |
|
Stopped cheque |
250 | Returns inwards | 325 |
| Bal c/d | 230 | Set off | 900 |
| Bal c/d | 4740 | ||
| 23430 |
23430 |
||
| Bal b/d | 4740 | Bal b/d | 230 |
The amount ₦19,075 represents
- A. the double entry for the total sales account
- B. total sales for the month
- C. credit sales
- D. cash sales for the month
| ₦ |
₦ |
||
|
Bal. b/f |
3,250 | Bal. b/f. | 215 |
|
Sales |
19,075 | Bank |
16,387.50 |
|
Dishonoured cheque |
625 | Discount | 862.50 |
|
Stopped cheque |
250 | Returns inwards | 325 |
|
Bal c/d |
230 | Set off | 900 |
| Bal c/d |
4740 |
||
| 23,430 |
23430 |
||
|
Bal b/d |
4740 | Bal b/d | 230 |
Dr. Sales Ledger Control Account . Cr
The amount ₦16,378.50 described as “Bank” represents
- A. receipts from trade debtors only
- B. cash sales for the month including discount
- C. receipts from all debtors of the business
- D. cash sales for the month excluding discount
In manufacturing, depreciation of office machine is charged to
- A. trading account
- B. balance sheet
- C. appropriation account
- D. profit and loss account
Discount allowed is enjoyed by
- A. managers
- B. customers
- C. staff of the company
- D. suppliers
When starting with the cash book balance in preparing the bank reconciliation statement, the followings are added except
- A. uncredited cheque
- B. credit transfer
- C. dividend
- D. unpresented cheque