POST UTME AL-HIKMAH UNIVERSITY 2018 Accounting | Objective

Are you preparing for POST UTME AL-HIKMAH UNIVERSITY exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2018 Accounting (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
A company uses the perpetual inventory system. On January 1, 2022, it had 500 units of a product in stock, valued at ₦1,500 each. On February 15, 2022, 200 units were sold for ₦3,000 each. On March 1, 2022, 300 units were purchased for ₦2,000 each. On April 15, 2022, 100 units were returned from customers. Calculate the cost of goods sold for the period January 1, 2022 to April 15, 2022.
A. ₦450,000
Correct B. ₦525,000
C. ₦600,000
D. ₦675,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 2
A company has the following transactions related to its bank account: | Date | Description | Debit | Credit | | --- | --- | --- | --- | | 2022-01-01 | Cash deposit | ₦10,000 | | | 2022-01-05 | Cheque deposit | | ₦5,000 | | 2022-01-10 | Bank interest | | ₦1,000 | | 2022-01-15 | Cheque payment | ₦8,000 | | | 2022-01-20 | Cash withdrawal | | ₦3,000 | What is the bank reconciliation statement as of January 31, 2022?
Correct A. ₦14,000
B. ₦15,000
C. ₦16,000
D. ₦17,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 3
A company uses the straight-line method to depreciate its assets. The asset cost ₦120,000 and has a useful life of 5 years. Calculate the annual depreciation for the first 3 years.
Correct A. ₦24,000
B. ₦30,000
C. ₦36,000
D. ₦42,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 4
A partnership has the following capital accounts: | Partner | Capital | Drawing | Balance | | --- | --- | --- | --- | | A | ₦50,000 | ₦5,000 | ₦45,000 | | B | ₦30,000 | ₦3,000 | ₦27,000 | | C | ₦20,000 | ₦2,000 | ₦18,000 | The partnership has a profit of ₦15,000. What is the new balance of each partner's capital account?
Correct A. A: ₦50,000, B: ₦33,000, C: ₦20,000
B. A: ₦55,000, B: ₦30,000, C: ₦20,000
C. A: ₦50,000, B: ₦30,000, C: ₦20,000
D. A: ₦45,000, B: ₦27,000, C: ₦18,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 5
A company has the following trial balance: | Account | Debit | Credit | | --- | --- | --- | | Cash | ₦10,000 | | | Accounts Payable | | ₦5,000 | | Sales Revenue | | ₦15,000 | | Cost of Goods Sold | ₦8,000 | | What is the correct balance of the Sales Revenue account?
A. ₦15,000
Correct B. ₦20,000
C. ₦25,000
D. ₦30,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 6
A company issued 5,000, 10% debentures of ₦100 each at a discount of 5%. The debentures are redeemable at the end of 5 years. Prepare the debenture account and the capital and revenue accounts.
A. ₦500,000
Correct B. ₦450,000
C. ₦475,000
D. ₦525,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 7
A company's cash book shows the following transactions: ₦1,500 cash received from customers; ₦2,000 cash paid to suppliers; ₦3,000 cash paid to employees. Prepare the cash book and the bank reconciliation statement.
A. ₦1,500
B. ₦2,000
Correct C. ₦3,000
D. ₦4,500

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 8
A company's trial balance shows the following balances: ₦10,000 debit balance in the purchases account; ₦5,000 credit balance in the sales account. Prepare the ledger accounts and the trial balance.
A. ₦15,000
Correct B. ₦20,000
C. ₦25,000
D. ₦30,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 9
A company issued 10,000, 5% shares of ₦10 each at a premium of ₦2. The shares are redeemable at the end of 3 years. Prepare the share capital account and the revenue account.
A. ₦100,000
Correct B. ₦120,000
C. ₦150,000
D. ₦180,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 10
A company's bank statement shows the following transactions: ₦5,000 deposited by customers; ₦3,000 paid to suppliers; ₦2,000 paid to employees. Prepare the bank reconciliation statement.
A. ₦5,000
B. ₦3,000
C. ₦2,000
Correct D. ₦4,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 11
A company's trading account for the year ended 31st December 2022, showed a profit of ₦1,500,000. The balance sheet as at 31st December 2022, showed a current liability of ₦800,000. Calculate the company's net profit for the year.
A. ₦1,700,000
Correct B. ₦1,600,000
C. ₦1,800,000
D. ₦1,900,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 12
A manufacturing company uses a job costing system. The following information is available for the year ended 31st December 2022:
A. ₦1,200,000
Correct B. ₦1,500,000
C. ₦1,800,000
D. ₦2,000,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 13
A company's cash book for the year ended 31st December 2022, showed the following transactions:
A. ₦1,200,000
Correct B. ₦1,500,000
C. ₦1,800,000
D. ₦2,000,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 14
A company's bank reconciliation statement for the year ended 31st December 2022, showed the following discrepancies:
A. ₦1,200,000
Correct B. ₦1,500,000
C. ₦1,800,000
D. ₦2,000,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 15
A company's balance sheet as at 31st December 2022, showed the following assets and liabilities:
A. ₦1,200,000
Correct B. ₦1,500,000
C. ₦1,800,000
D. ₦2,000,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 16
A company issued 10,000 9% debentures of ₦100 each on January 1, 2018. The debentures are redeemable at par on January 1, 2023. Interest is payable half-yearly on June 30 and December 31. Calculate the interest payable on December 31, 2018.
A. ₦45,000
Correct B. ₦90,000
C. ₦45,000
D. ₦90,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 17
A company's trial balance as at December 31, 2018, showed the following balances: Cash ₦100,000, Bank ₦50,000, Accounts Receivable ₦20,000, Accounts Payable ₦15,000, and Common Stock ₦150,000. Prepare the company's balance sheet as at December 31, 2018.
A. ₦250,000
B. ₦200,000
Correct C. ₦150,000
D. ₦100,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 18
A company's income statement for the year ended December 31, 2018, showed the following: Sales ₦500,000, Cost of Goods Sold ₦300,000, Gross Profit ₦200,000, Operating Expenses ₦50,000, Net Income ₦150,000. Prepare the company's income statement for the year ended December 31, 2018.
Correct A. ₦150,000
B. ₦200,000
C. ₦250,000
D. ₦300,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 19
A company's balance sheet as at December 31, 2018, showed the following: Cash ₦100,000, Accounts Receivable ₦20,000, Inventory ₦50,000, and Common Stock ₦150,000. Prepare the company's statement of changes in equity for the year ended December 31, 2018.
A. ₦50,000
B. ₦100,000
Correct C. ₦150,000
D. ₦200,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 20
A company's trial balance as at December 31, 2018, showed the following balances: Cash ₦100,000, Bank ₦50,000, Accounts Receivable ₦20,000, Accounts Payable ₦15,000, and Common Stock ₦150,000. Prepare the company's statement of cash flows for the year ended December 31, 2018.
A. ₦50,000
Correct B. ₦100,000
C. ₦150,000
D. ₦200,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 21
A company issued 10,000 shares of £ 1 each at a premium of £ 0.50 per share. Calculate the total amount received from the issue of shares.
A. ₦12,500
Correct B. ₦15,000
C. ₦17,500
D. ₦20,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 22
A company's capital consists of £ 10,000 10% debentures and £ 5,000 12% preference shares. The company pays an annual interest of £ 1,200 on the debentures. Calculate the annual charge on the preference shares.
A. ₦600
B. ₦800
Correct C. ₦1,000
D. ₦1,200

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 23
A company's assets are valued at ₦50,000 and liabilities at ₦20,000. Calculate the company's net worth.
Correct A. ₦30,000
B. ₦40,000
C. ₦30,000
D. ₦50,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 24
A company's depreciation policy is to depreciate its assets by 10% per annum. If the asset was valued at ₦100,000 at the beginning of the year, what will be its value at the end of the year?
Correct A. ₦90,000
B. ₦80,000
C. ₦70,000
D. ₦60,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 25
A company's trial balance shows the following balances: Capital £ 10,000, Profit £ 5,000, Drawings £ 2,000. Prepare the company's balance sheet.
A. ₦17,000
Correct B. ₦20,000
C. ₦22,000
D. ₦25,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

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:
Chat with Support