POST UTME ABU 2025 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company has the following transactions in its cash book: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Cash | 1000 | | | 2nd Jan | Cash | 500 | | | 3rd Jan | Cash | | 2000 | What is the balance of the cash account?
A. ₦1500
B. ₦2500
C. ₦3000
D. ₦3500
Question 2
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Cash | 1000 | | | 2nd Jan | Cash | 500 | | | 3rd Jan | Cash | | 2000 | What is the bank reconciliation statement?
A. ₦1500
B. ₦2500
C. ₦3000
D. ₦3500
Question 3
A company's cash book shows the following transactions: Debit: Cash ¡ 20,000, Credit: Bank ¡ 20,000. What is the effect of this transaction on the company's cash and bank balances?
A. The cash balance increases by ¡ 20,000 and the bank balance decreases by ¡ 20,000.
B. The cash balance decreases by ¡ 20,000 and the bank balance increases by ¡ 20,000.
C. The cash balance remains unchanged and the bank balance increases by ¡ 20,000.
D. The cash balance increases by ¡ 20,000 and the bank balance remains unchanged.
Question 4
A company's profit and loss account for the year ended 31st December 2024 is as follows: Trading profit: ₦200,000 Non-trading income: ₦50,000 Non-trading expenses: ₦30,000 What is the net profit for the year?
A. ₦220,000
B. ₦230,000
C. ₦240,000
D. ₦250,000
Question 5
A company's bank statement shows the following transactions: Debit: Bank ¡ 30,000, Credit: Cash ¡ 30,000. What is the effect of this transaction on the company's cash and bank balances?
A. The cash balance increases by ¡ 30,000 and the bank balance decreases by ¡ 30,000.
B. The cash balance decreases by ¡ 30,000 and the bank balance increases by ¡ 30,000.
C. The cash balance remains unchanged and the bank balance increases by ¡ 30,000.
D. The cash balance increases by ¡ 30,000 and the bank balance remains unchanged.
Question 6
A company's trading account for the year ended 31st December 2024 is as follows: Debit: Sundry expenses: ₦50,000 Profit on sale of assets: ₦20,000 Credit: Sales: ₦500,000 Purchases: ₦300,000 What is the net profit for the year?
A. ₦150,000
B. ₦180,000
C. ₦200,000
D. ₦220,000
Question 7
A company's bank statement shows a balance of ₦90,000. However, the company's cash book shows a balance of ₦80,000. What is the likely reason for the discrepancy?
A. The company has not yet deposited the cash into the bank.
B. The bank has not yet credited the company's account for the deposited cash.
C. The company has not yet debited the bank for the withdrawn cash.
D. The company's cash book is not up-to-date.
Question 8
A company's trial balance shows the following balances: Debit: Rent Expense ¡ 100,000 Salaries Expense ¡ 150,000 Credit: Rent Income ¡ 120,000 Salaries Payable ¡ 180,000 What is the correct classification of the above items?
A. Assets
B. Liabilities
C. Equity
D. Expenses
Question 9
A company uses the FIFO method to value its inventory. The company has the following inventory transactions: Beginning Inventory ₦100,000, Purchase 1 ₦150,000, Purchase 2 ₦200,000. What is the cost of goods sold?
A. ₦350,000
B. ₦450,000
C. ₦350,000
D. ₦450,000
Question 10
A company's trial balance shows the following balances: Accounts Payable ₦150,000, Sales Revenue ₦200,000, Cost of Goods Sold ₦120,000, and Net Income ₦30,000. What is the total amount of the company's liabilities?
A. ₦270,000
B. ₦300,000
C. ₦270,000
D. ₦300,000
Question 11
A company uses the double-declining balance method of depreciation. If the cost of the asset is ₦120,000 and its useful life is 5 years, what is the annual depreciation charge?
A. ₦24,000
B. ₦28,000
C. ₦32,000
D. ₦36,000
Question 12
A company has the following transactions: Purchased goods for ₦15,000 on credit, sold goods for ₦20,000 on credit, and paid cash for office expenses of ₦2,000. What is the net effect on the company's cash position?
A. The company's cash position has increased by ₦3,000.
B. The company's cash position has decreased by ₦3,000.
C. The company's cash position has remained the same.
D. The company's cash position has increased by ₦5,000.
Question 13
A manufacturing company produces two products, X and Y. The selling price of X is ₦100 per unit, and the selling price of Y is ₦120 per unit. The company produces 200 units of X and 150 units of Y. The total cost of production is ₦150,000. What is the profit?
A. ₦15,000
B. ₦20,000
C. ₦25,000
D. ₦30,000
Question 14
A company uses the weighted average method to calculate its inventory cost. The company has the following inventory transactions: Beginning Inventory ₦100,000, Purchase 1 ₦150,000, Purchase 2 ₦200,000. What is the total value of the company's inventory?
A. ₦450,000
B. ₦550,000
C. ₦450,000
D. ₦550,000
Question 15
A company's trial balance shows the following balances: Debit: Rent Expense ¡ 100,000 Salaries Expense ¡ 150,000 Credit: Rent Income ¡ 120,000 Salaries Payable ¡ 180,000 What is the correct classification of the above items?
A. Assets
B. Liabilities
C. Equity
D. Expenses

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