POST UTME BOWEN UNIVERSITY 2023 Accounting | Objective

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Question 1
A manufacturing company uses a job costing system. The following data are extracted from the company's records for the year ended 31st December 2022: Direct Materials: ₦120,000 Direct Labour: ₦80,000 Overheads: ₦60,000 Selling Price per unit: ₦200 Number of units sold: 500 Determine the gross profit for the year.
A. ₦80,000
B. ₦100,000
C. ₦120,000
D. ₦140,000
Question 2
A company uses the straight-line method to depreciate its assets. The cost of the asset is ₦500,000, and the useful life is 5 years. If the asset is sold after 3 years for ₦250,000, what is the amount of depreciation for the 3rd year?
A. ₦50,000
B. ₦75,000
C. ₦100,000
D. ₦125,000
Question 3
A partnership has two partners, A and B, who share profits in the ratio 3:2. If the total profit for the year is ₦1,500,000, calculate the amount of profit that will be distributed to partner A.
A. ₦1,350,000
B. ₦1,200,000
C. ₦1,050,000
D. ₦900,000
Question 4
A company has the following transactions: Purchased office supplies for ₦20,000 Sold office supplies for ₦15,000 What is the net effect of these transactions on the company's expenses?
A. ₦5,000 decrease
B. ₦5,000 increase
C. ₦10,000 decrease
D. ₦10,000 increase
Question 5
A company's financial statements show the following information: Net Income ₦50,000, Depreciation Expense ₦20,000, Accumulated Depreciation ₦30,000. What is the correct journal entry to record the depreciation?
A. ₦20,000 Debit: Depreciation Expense, ₦20,000 Credit: Accumulated Depreciation
B. ₦20,000 Debit: Accumulated Depreciation, ₦20,000 Credit: Depreciation Expense
C. ₦20,000 Debit: Depreciation Expense, ₦20,000 Credit: Net Income
D. ₦20,000 Debit: Net Income, ₦20,000 Credit: Depreciation Expense
Question 6
A company maintains a cash book and a general ledger. The cash book shows a balance of ₦100,000, and the general ledger shows a balance of ₦150,000. If the company's bank statement shows a balance of ₦120,000, what is the amount of the bank reconciliation difference?
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000
Question 7
In a self-balancing ledger, what is the purpose of the 'Trial Balance'?
A. To verify the accuracy of the ledger accounts
B. To identify any errors or discrepancies in the ledger
C. To prepare the financial statements
D. To reconcile the ledger with the bank statement
Question 8
A partnership has three partners, A, B, and C, who share profits in the ratio 2:3:1. If the total profit for the year is ₦2,000,000, calculate the amount of profit that will be distributed to partner C.
A. ₦400,000
B. ₦300,000
C. ₦200,000
D. ₦100,000
Question 9
A company's trading account for the year ended 31st December 2022 is as follows: Sales: ₦500,000 Returns Outwards: ₦20,000 Returns Inwards: ₦10,000 Cost of Goods Sold: ₦300,000 Determine the company's gross profit for the year.
A. ₦120,000
B. ₦150,000
C. ₦180,000
D. ₦200,000
Question 10
A business has the following transactions: Purchased equipment for ₦100,000, Sold goods for ₦150,000. What is the net increase in assets?
A. ₦50,000
B. ₦60,000
C. ₦70,000
D. ₦80,000
Question 11
A company has the following transactions: Purchased office supplies for ₦10,000, Paid salaries ₦20,000, Received cash from customers ₦30,000. What is the total amount of cash received?
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 12
A company issues 1,000 shares of ₦10 each at a premium of ₦5 per share. The company also issues 500 debentures of ₦100 each. What is the total amount received from the issue of shares and debentures?
A. ₦15,500
B. ₦16,000
C. ₦16,500
D. ₦17,000
Question 13
A company's bank reconciliation statement shows the following: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Bank Balance | ₦10,000 | ₦0 | | 5 Jan | Bank Deposit | ₦0 | ₦20,000 | | 10 Jan | Bank Withdrawal | ₦0 | ₦15,000 | What is the correct balance in the Bank account?
A. ₦5,000
B. ₦10,000
C. ₦15,000
D. ₦20,000
Question 14
A company's trial balance shows the following: | Account | Debit | Credit | | --- | --- | --- | | Cash | ₦10,000 | ₦0 | | Accounts Payable | ₦0 | ₦10,000 | | Sales Revenue | ₦0 | ₦50,000 | | Cost of Goods Sold | ₦20,000 | ₦0 | | Net Income | ₦30,000 | ₦0 | What is the correct balance in the Accounts Payable account?
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 15
The following is a trial balance for XYZ Company: | Account | Debit | Credit | | --- | --- | --- | | Cash | ₦10,000 | ₦0 | | Accounts Payable | ₦0 | ₦10,000 | | Sales Revenue | ₦0 | ₦50,000 | | Cost of Goods Sold | ₦20,000 | ₦0 | | Net Income | ₦30,000 | ₦0 | What is the correct balance in the Cash account?
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000

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