POST UTME ABU 2017 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A public sector organization has the following transactions: Salaries: ₦500,000; Wages: ₦300,000; Rent: ₦200,000. What is the total expenditure?
A. ₦1,000,000
B. ₦1,100,000
C. ₦1,200,000
D. ₦1,300,000
Question 2
A public sector organization has a budget of ₦10,000,000 for the year. The organization has already spent ₦6,000,000 on salaries and ₦2,000,000 on equipment. What is the remaining budget for the year?
A. ₦2,000,000
B. ₦1,000,000
C. ₦500,000
D. ₦0
Question 3
A business has the following final accounts: Trading Profit: ₦50,000; Profit and Loss: ₦100,000; Balance Sheet: ₦200,000. What is the net worth?
A. ₦250,000
B. ₦300,000
C. ₦350,000
D. ₦400,000
Question 4
A company uses the single-entry system of accounting. The company's trial balance as at 31st December 2016 is as follows: Debit: Cash ¡ 50,000 Accounts Payable ¡ 30,000 Equipment ¡ 100,000 Credit: Accounts Receivable ¡ 20,000 Common Stock ¡ 150,000 Total ¡ 350,000
A. ¡ 20,000
B. ¡ 30,000
C. ¡ 50,000
D. ¡ 100,000
Question 5
A partnership has three partners, A, B, and C. Partner A has a capital of ₦100,000, Partner B has a capital of ₦80,000, and Partner C has a capital of ₦60,000. The partnership's total capital is ₦300,000. What is the ratio of Partner A's capital to Partner B's capital?
A. 1:1
B. 2:1
C. 3:2
D. 4:3
Question 6
A business has the following transactions in its incomplete records: Sales: ₦100,000; Purchases: ₦80,000; Drawings: ₦20,000. What is the net profit?
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000
Question 7
A company's trading account shows a profit of ₦1,500,000. The balance sheet shows a decrease in inventory of ₦200,000 and an increase in accounts payable of ₦300,000. What is the net effect on the company's cash position?
A. ₦1,500,000
B. ₦1,800,000
C. ₦2,100,000
D. ₦2,300,000
Question 8
A company issued 5,000, 10% debentures of ₦100 each at a discount of 5%. The debentures are redeemable after 5 years. Calculate the amount of interest to be paid at the end of the first year.
A. ₦25,000
B. ₦50,000
C. ₦75,000
D. ₦100,000
Question 9
A company uses the double-entry system to record its transactions. The following journal entry was made on December 31, 2022: Debit: Cash 10,000, Credit: Dividends 10,000. What is the effect of this transaction on the company's equity?
A. Decrease in equity
B. Increase in equity
C. No effect on equity
D. Decrease in liabilities
Question 10
A company prepares its final accounts for the year ended December 31. The trading account shows a profit of ₦200,000. The profit and loss account shows a profit of ₦250,000. The balance sheet shows a total assets of ₦500,000 and total liabilities of ₦300,000. What is the company's net worth on December 31?
A. ₦100,000
B. ₦150,000
C. ₦200,000
D. ₦250,000
Question 11
The following is a partial extract from the ledger of a partnership between A and B: Debit Balance: ₦50,000 A's Capital: ₦100,000 B's Capital: ₦80,000 What is the total value of the partnership?
A. ₦230,000
B. ₦240,000
C. ₦250,000
D. ₦260,000
Question 12
A company uses the double-entry system and has the following ledger accounts: Debit: ₦100,000; Credit: ₦150,000. What is the net effect?
A. ₦50,000
B. ₦100,000
C. ₦150,000
D. ₦200,000
Question 13
A government agency is required to prepare a budget for the upcoming fiscal year. The budget includes the following line items: Salaries 1,000,000, Rent 200,000, Utilities 50,000. What is the total amount of the budget?
A. 1,250,000
B. 1,200,000
C. 1,250,000
D. 1,300,000
Question 14
A company's balance sheet as at 31st December 2022 is as follows: Assets: ₦500,000 Liabilities: ₦200,000 Capital: ₦300,000 What is the net worth of the company?
A. ₦300,000
B. ₦400,000
C. ₦500,000
D. ₦600,000
Question 15
A company uses the double entry system to record its transactions. The company's ledger shows a debit balance of ₦100,000 in the account 'Sales' and a credit balance of ₦80,000 in the account 'Purchases'. What is the company's net profit for the year?
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000

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