POST UTME BSU 2017 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company purchases a machine for ₦300,000 and depreciates it by 10% per annum using the reducing balance method. Calculate the book value of the machine after 2 years.
A. ₦216,000
B. ₦220,000
C. ₦224,000
D. ₦228,000
Question 2
A company's trial balance showed the following balances: Debtors ₦50,000, Creditors ₦30,000, Capital ₦100,000, Profit and Loss A/c ₦20,000. What is the total amount of the company's assets?
A. ₦160,000
B. ₦180,000
C. ₦200,000
D. ₦220,000
Question 3
A company issues 10,000, 10% debentures of ₦100 each at a discount of 5%. Calculate the amount received from the issue of debentures.
A. ₦950,000
B. ₦1,000,000
C. ₦1,050,000
D. ₦1,100,000
Question 4
A company uses the double-entry system to record its transactions. The journal entry for a purchase of office equipment is:
A. Debit Office Equipment 1,000, Credit Cash 1,000
B. Debit Office Equipment 1,000, Credit Accounts Payable 1,000
C. Debit Office Equipment 1,000, Credit Accounts Receivable 1,000
D. Debit Office Equipment 1,000, Credit Sales Revenue 1,000
Question 5
A company issued 10,000 shares of ₦10 each at a premium of ₦5 per share. Calculate the total amount received from the issue of shares.
A. ₦100,000
B. ₦150,000
C. ₦200,000
D. ₦250,000
Question 6
A public sector organization has the following transactions: Purchased office supplies for ₦10,000, paid salaries of ₦50,000, and collected taxes of ₦20,000. What is the net cash outflow for the period?
A. ₦30,000
B. ₦20,000
C. ₦10,000
D. ₦0
Question 7
A company uses the straight-line method to depreciate its assets. The company's assets have a useful life of 10 years and a residual value of ₦10,000. What is the annual depreciation charge for the company's assets?
A. ₦9,000
B. ₦10,000
C. ₦11,000
D. ₦12,000
Question 8
A manufacturing company uses the weighted average method to value its inventory. The company has the following data for the current period: Cost of goods available for sale: ₦100,000 Beginning inventory: ₦20,000 Purchases: ₦60,000 Cost of goods sold: ₦40,000 What is the cost of goods sold using the weighted average method?
A. ₦30,000
B. ₦40,000
C. ₦50,000
D. ₦60,000
Question 9
A firm's cash book shows a balance of ₦25,000. The bank statement shows a balance of ₦30,000. The difference is due to an outstanding cheque of ₦5,000. What is the correct balance in the firm's cash book?
A. ₦20,000
B. ₦22,500
C. ₦25,000
D. ₦27,500
Question 10
A company uses the FIFO method to value its inventory. On January 1, 2022, it had 1,000 units of a product in stock, costing ₦200 each. During the year, 500 units were sold, and 200 units were purchased at ₦250 each. What is the total value of the inventory at December 31, 2022?
A. ₦120,000
B. ₦125,000
C. ₦130,000
D. ₦135,000
Question 11
A company has a trial balance as follows: Accounts Payable ₦50,000, Sales Revenue ₦200,000, Cost of Goods Sold ₦150,000. Prepare a balance sheet.
A. Assets ₦250,000, Liabilities ₦50,000, Equity ₦200,000
B. Assets ₦200,000, Liabilities ₦50,000, Equity ₦150,000
C. Assets ₦150,000, Liabilities ₦50,000, Equity ₦100,000
D. Assets ₦100,000, Liabilities ₦50,000, Equity ₦50,000
Question 12
A company issued 5,000, 10% debentures of ₦100 each at a discount of 5%. What is the total amount received from debenture holders?
A. ₦450,000
B. ₦475,000
C. ₦500,000
D. ₦525,000
Question 13
A company's cash book shows a balance of ₦75,000. The bank statement shows a balance of ₦80,000. The difference is due to an outstanding cheque of ₦15,000. What is the correct balance in the company's cash book?
A. ₦60,000
B. ₦65,000
C. ₦75,000
D. ₦80,000
Question 14
A company uses the accrual method of accounting. On December 31, 2022, it had the following accounts: Accounts Payable ₦100,000, Accounts Receivable ₦150,000, and Sales Revenue ₦500,000. What is the total amount of current liabilities?
A. ₦250,000
B. ₦300,000
C. ₦350,000
D. ₦400,000
Question 15
A company uses the straight-line method to depreciate its assets. If the asset's useful life is 5 years and the residual value is ₦0, what is the annual depreciation charge if the asset's cost is ₦120,000?
A. ₦24,000
B. ₦20,000
C. ₦25,000
D. ₦30,000

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