POST UTME ABU 2019 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company has a machine that cost ₦500,000 and has a useful life of 5 years. The machine is depreciated using the straight-line method. What is the annual depreciation charge?
A. ₦100,000
B. ₦50,000
C. ₦75,000
D. ₦25,000
Question 2
A company's assets are valued at ₦500,000. The company depreciates its assets by 10% each year. Calculate the value of the assets after 3 years.
A. ₦441,000
B. ₦442,000
C. ₦443,000
D. ₦444,000
Question 3
A company has a bank account with the following transactions: debit 10,000, credit 8,000, debit 6,000, credit 4,000. Calculate the net balance in the bank account.
A. ₦2,000
B. ₦2,000
C. ₦2,000
D. ₦2,000
Question 4
A company has a cash book account with the following transactions: debit 10,000, credit 8,000, debit 6,000, credit 4,000. Calculate the net balance in the cash book account.
A. ₦2,000
B. ₦2,000
C. ₦2,000
D. ₦2,000
Question 5
A company has a control account with the following transactions: debit 10,000, credit 8,000, debit 6,000, credit 4,000. Calculate the net balance in the control account.
A. ₦2,000
B. ₦2,000
C. ₦2,000
D. ₦2,000
Question 6
A company has the following transactions: Purchased goods for ₦50,000 on credit, sold goods for ₦60,000 on credit, and paid cash of ₦10,000. What is the net effect on the company's cash balance?
A. ₦10,000 increase
B. ₦20,000 increase
C. ₦30,000 decrease
D. ₦40,000 decrease
Question 7
A company's trial balance shows a debit balance of ₦10,000 in the accounts payable account. What is the likely reason for the debit balance?
A. The company has not recorded the accounts payable.
B. The company has recorded the accounts payable but not paid it.
C. The company has paid the accounts payable but not recorded it.
D. The company has an error in its accounts payable account.
Question 8
A company uses the weighted average method to value its inventory. The cost of goods available for sale is ₦1,200,000, and the cost of goods sold is ₦1,000,000. If the company uses a periodic inventory system, what is the value of the inventory at the end of the year?
A. ₦200,000
B. ₦250,000
C. ₦300,000
D. ₦350,000
Question 9
A company issued 10,000 shares of ₦10 each. Calculate the total amount received from share holders.
A. ₦100,000
B. ₦200,000
C. ₦300,000
D. ₦400,000
Question 10
A company has a bank account with the following transactions: debit 10,000, credit 8,000, debit 6,000, credit 4,000. Calculate the net balance in the bank account.
A. ₦2,000
B. ₦2,000
C. ₦2,000
D. ₦2,000
Question 11
A company prepares a trial balance. The trial balance shows a difference of ₦5,000 due to an error in the ledger accounts. What is the correct balance of the trial balance?
A. ₦250,000
B. ₦255,000
C. ₦250,000
D. ₦260,000
Question 12
A company has the following ledger balances: Debit: ₦10,000 for rent ₦5,000 for electricity ₦3,000 for water ₦2,000 for office supplies ₦1,000 for postage Credit: ₦15,000 for sales ₦8,000 for purchases ₦4,000 for wages ₦2,000 for dividends Determine the net profit or loss for the year.
A. ₦3,000
B. ₦5,000
C. ₦7,000
D. ₦9,000
Question 13
A company uses the self-balancing ledger system. The ledger has the following accounts: Cash, Accounts Receivable, Inventory, and Equipment. What is the balance of the Cash account?
A. ₦500,000
B. ₦750,000
C. ₦1,000,000
D. ₦1,250,000
Question 14
A company has the following ledger balances: Debit: ₦10,000 for rent ₦5,000 for electricity ₦3,000 for water ₦2,000 for office supplies ₦1,000 for postage Credit: ₦15,000 for sales ₦8,000 for purchases ₦4,000 for wages ₦2,000 for dividends Determine the net profit or loss for the year.
A. ₦3,000
B. ₦5,000
C. ₦7,000
D. ₦9,000
Question 15
A company issues 1,000 shares of ₦10 each at a premium of ₦5. Calculate the total amount received from the issue of shares.
A. ₦5,500,000
B. ₦5,600,000
C. ₦5,700,000
D. ₦5,800,000

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Help others prepare! Share this practice hub: