POST UTME BOWEN UNIVERSITY 2022 Accounting | Objective

Are you preparing for POST UTME BOWEN UNIVERSITY exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2022 Accounting (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
Determine the amount of depreciation on a machine that cost ₦120,000 and has a useful life of 5 years, using the straight-line method. The machine is currently in its third year of use.
A. ₦24,000
Correct B. ₦30,000
C. ₦36,000
D. ₦42,000

Correct Answer: B

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Question 2
A company uses the weighted average method to value its inventory. If the cost of the current period's purchases is ₦150,000, the cost of the previous period's inventory is ₦120,000, and the total cost of goods available for sale is ₦300,000, what is the cost of the current period's inventory?
A. ₦180,000
B. ₦200,000
Correct C. ₦220,000
D. ₦240,000

Correct Answer: C

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Question 3
A company's trial balance shows the following balances: Accounts Payable ₦50,000, Sales Revenue ₦200,000, Cost of Goods Sold ₦120,000, and Common Stock ₦100,000. What is the company's net income?
A. ₦80,000
B. ₦90,000
C. ₦100,000
Correct D. ₦110,000

Correct Answer: D

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Question 4
A company uses the FIFO method to value its inventory. If the cost of the current period's purchases is ₦150,000, the cost of the previous period's inventory is ₦120,000, and the total cost of goods available for sale is ₦300,000, what is the cost of the current period's inventory?
A. ₦180,000
B. ₦200,000
Correct C. ₦220,000
D. ₦240,000

Correct Answer: C

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Question 5
A company's balance sheet shows the following balances: Cash ₦50,000, Accounts Payable ₦50,000, Sales Revenue ₦200,000, Cost of Goods Sold ₦120,000, and Common Stock ₦100,000. What is the company's net income?
A. ₦80,000
B. ₦90,000
C. ₦100,000
Correct D. ₦110,000

Correct Answer: D

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Question 6
A company's cash book shows a balance of ₦150,000. However, the bank statement shows a balance of ₦120,000. The company's cash book also shows a debit balance of ₦20,000 in the 'Office Equipment' account. The bank statement shows a credit balance of ₦15,000 in the same account. What is the correct balance in the 'Office Equipment' account?
A. ₦5,000
Correct B. ₦10,000
C. ₦15,000
D. ₦20,000

Correct Answer: B

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Question 7
In a partnership, A and B share profits and losses in the ratio 3:2. If the total profit for the year is ₦150,000, how much will A receive?
Correct A. ₦90,000
B. ₦100,000
C. ₦110,000
D. ₦120,000

Correct Answer: A

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Question 8
A 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 sells 500 units of X and 300 units of Y. What is the total revenue?
A. ₦120,000
B. ₦150,000
Correct C. ₦180,000
D. ₦200,000

Correct Answer: C

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Question 9
A company has a manufacturing department that produces two products, A and B. The cost of producing A is ₦50 per unit, and the cost of producing B is ₦60 per unit. The company produces 200 units of A and 150 units of B. What is the total cost of production?
A. ₦15,000
B. ₦18,000
Correct C. ₦20,000
D. ₦22,000

Correct Answer: C

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Question 10
A company has a departmental account for the 'Selling Department'. The account shows a debit balance of ₦20,000. The company's trial balance shows a credit balance of ₦15,000 in the same account. What is the correct balance in the 'Selling Department' account?
A. ₦5,000
Correct B. ₦10,000
C. ₦15,000
D. ₦20,000

Correct Answer: B

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Question 11
A public sector organization has the following transactions: Purchase of goods for ₦1,000,000, payment of salaries ₦500,000, and payment of taxes ₦200,000. What is the total amount of cash outflows?
Correct A. ₦1,700,000
B. ₦1,500,000
C. ₦1,200,000
D. ₦1,300,000

Correct Answer: A

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Question 12
A partnership has two partners, A and B, with capital contributions of ₦500,000 and ₦300,000 respectively. If the profit sharing ratio is 3:2, what is the total profit?
A. ₦1,200,000
B. ₦1,500,000
Correct C. ₦1,800,000
D. ₦2,000,000

Correct Answer: C

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Question 13
A company uses the double entry system to record transactions. If the company purchases goods for ₦200,000 and pays cash of ₦150,000, what is the amount of the purchase on account?
A. ₦50,000
Correct B. ₦100,000
C. ₦150,000
D. ₦200,000

Correct Answer: B

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Question 14
A company has the following control accounts: Cash, Accounts Payable, and Accounts Receivable. If the company has a cash balance of ₦500,000, accounts payable of ₦200,000, and accounts receivable of ₦300,000, what is the total value of the control accounts?
A. ₦1,000,000
B. ₦1,200,000
C. ₦1,300,000
Correct D. ₦1,500,000

Correct Answer: D

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Question 15
A company has the following cash book transactions: Purchase of goods for ₦100,000, payment of salaries ₦50,000, and payment of taxes ₦20,000. What is the total amount of cash outflows?
Correct A. ₦170,000
B. ₦150,000
C. ₦120,000
D. ₦130,000

Correct Answer: A

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Question 16
A company's cash book shows a balance of ₦120,000. However, the bank statement shows a balance of ₦150,000. What is the likely reason for the discrepancy?
A. The company has not recorded a deposit of ₦30,000.
B. The bank has charged a fee of ₦30,000.
Correct C. The company has not recorded a withdrawal of ₦30,000.
D. The company has not recorded a loan of ₦30,000.

Correct Answer: C

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Question 17
A company's trading account shows a profit of ₦100,000. However, the profit and loss account shows a loss of ₦50,000. What is the likely reason for the discrepancy?
A. The company has not recorded a sale of ₦50,000.
B. The company has not recorded a purchase of ₦50,000.
Correct C. The company has not recorded a depreciation of ₦50,000.
D. The company has not recorded a loan of ₦50,000.

Correct Answer: C

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Question 18
A company's assets are valued at ₦500,000. However, the company's liabilities are ₦300,000. What is the company's net worth?
Correct A. ₦200,000
B. ₦300,000
C. ₦400,000
D. ₦500,000

Correct Answer: A

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Question 19
A company issues 1,000 shares of ₦10 each at a premium of ₦5 per share. What is the total amount received from the issue of shares?
A. ₦10,000
B. ₦15,000
C. ₦20,000
Correct D. ₦25,000

Correct Answer: D

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Question 20
A company purchases a machine for ₦50,000 and depreciates it by 10% per annum. What is the value of the machine after 2 years?
A. ₦40,000
Correct B. ₦45,000
C. ₦50,000
D. ₦55,000

Correct Answer: B

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Question 21
In a self-balancing ledger, the control account is the account that is used to record the total of all the subsidiary accounts. Which of the following is a characteristic of a control account?
Correct A. It is a nominal account.
B. It is a real account.
C. It is a temporary account.
D. It is a permanent account.

Correct Answer: A

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Question 22
A company has the following trial balance: Debit Credit 10,000 12,000. What is the correct balance of the company's equity?
Correct A. 22,000
B. 18,000
C. 20,000
D. 24,000

Correct Answer: A

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Question 23
A public sector organization has the following transactions: Purchase of goods 10,000, Sale of goods 15,000, and Transfer of funds to the government 5,000. What is the net effect on the organization's cash balance?
Correct A. 10,000 increase
B. 5,000 decrease
C. 15,000 increase
D. 20,000 decrease

Correct Answer: A

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Question 24
A partnership has the following capital accounts: Partner A 20,000, Partner B 30,000, and Partner C 10,000. If the partnership distributes 5,000 to each partner, what is the new balance of Partner A's capital account?
Correct A. 25,000
B. 20,000
C. 15,000
D. 10,000

Correct Answer: A

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Question 25
A company has the following incomplete records: Cash 10,000, Accounts Payable 5,000, and Sales 20,000. What is the net effect on the company's cash balance?
Correct A. 15,000 increase
B. 5,000 decrease
C. 10,000 increase
D. 20,000 decrease

Correct Answer: A

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