POST UTME CALEB UNIVERSITY 2024 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company's trial balance showed a discrepancy of ₦5,000. The company's accountant discovered that the discrepancy was due to an error in the journal entry for the purchase of a machine. The correct journal entry should have been debited to Machinery and credited to Bank. The incorrect journal entry was debited to Bank and credited to Machinery. Calculate the correct amount of Machinery.
A. ₦45,000
B. ₦50,000
C. ₦55,000
D. ₦60,000
Question 2
A company uses the single entry system and has the following transactions: Purchase of goods for ₦50,000, Payment of salaries ₦30,000, Receipt of revenue ₦20,000. What is the net effect on the company's cash balance?
A. ₦20,000 increase
B. ₦30,000 decrease
C. ₦50,000 decrease
D. ₦20,000 decrease
Question 3
A company uses the double entry system and has the following transactions: Purchase of goods for ₦50,000, Payment of salaries ₦30,000, Receipt of revenue ₦20,000. What is the net effect on the company's cash balance?
A. ₦20,000 increase
B. ₦30,000 decrease
C. ₦50,000 decrease
D. ₦20,000 decrease
Question 4
A company has the following balance sheet: Assets ₦100,000, Liabilities ₦50,000, and Equity ₦50,000. What is the company's debt-to-equity ratio?
A. 1:1
B. 1:2
C. 2:1
D. 3:1
Question 5
A company's balance sheet showed a total equity of ₦200,000. The company's accountant discovered that the equity was incorrectly stated due to an error in the journal entry for the sale of goods. The correct journal entry should have been credited to Sales and debited to Cash. The incorrect journal entry was credited to Cash and debited to Sales. Calculate the correct amount of Cash.
A. ₦180,000
B. ₦190,000
C. ₦200,000
D. ₦210,000
Question 6
A company uses the perpetual inventory system. On January 1, 2024, it had 500 units of a product in stock, valued at ₦1,500 each. On January 15, 2024, 200 units were sold for ₦3,000 each. On February 1, 2024, 300 units were purchased for ₦2,000 each. On March 1, 2024, 100 units were sold for ₦3,500 each. On April 1, 2024, 200 units were purchased for ₦2,500 each. The company uses the weighted average method to value inventory. What is the total value of inventory on April 1, 2024?
A. ₦1,200,000
B. ₦1,300,000
C. ₦1,400,000
D. ₦1,500,000
Question 7
A partnership has two partners, A and B. A invested ₦50,000 and B invested ₦30,000. The profit-sharing ratio is 3:2. Calculate the share of profit of partner A.
A. ₦45,000
B. ₦40,000
C. ₦50,000
D. ₦60,000
Question 8
A company uses the perpetual inventory system. On January 1, 2024, it had 500 units of a product in stock, valued at ₦1,500 each. On January 15, 2024, 200 units were sold for ₦3,000 each. On February 1, 2024, 300 units were purchased for ₦2,000 each. On March 1, 2024, 100 units were sold for ₦3,500 each. On April 1, 2024, 200 units were purchased for ₦2,500 each. The company uses the LIFO method to value inventory. What is the total value of inventory on April 1, 2024?
A. ₦1,200,000
B. ₦1,300,000
C. ₦1,400,000
D. ₦1,500,000
Question 9
A company's cash book shows a balance of ₦120,000. However, the bank statement shows a balance of ₦150,000. What is the most likely reason for the discrepancy?
A. The company has not yet received a payment from a customer.
B. The company has made an error in its cash book.
C. The bank has made an error in its statement.
D. The company has invested in a new asset.
Question 10
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. ₦150,000
B. ₦100,000
C. ₦120,000
D. ₦180,000
Question 11
A company has the following transactions: Purchased a new asset for ₦50,000, Sold an old asset for ₦30,000, and Paid salaries of ₦20,000. What is the net effect on the company's cash balance?
A. +₦20,000
B. +₦30,000
C. +₦40,000
D. +₦50,000
Question 12
A company has two departments: Manufacturing and Sales. The Manufacturing department has a budget of ₦1,500,000, and the Sales department has a budget of ₦800,000. If the company's total budget is ₦2,500,000, what is the ratio of the Manufacturing department's budget to the Sales department's budget?
A. 1:1
B. 2:1
C. 3:2
D. 4:3
Question 13
A company has a balance sheet that shows the following balances: Assets: ₦500,000, Liabilities: ₦200,000, Equity: ₦300,000. What is the company's net worth?
A. ₦100,000
B. ₦200,000
C. ₦300,000
D. ₦400,000
Question 14
A company's trading account for the year ended 31st December 2023 shows a profit of ₦1,500,000. The company's balance sheet as at 31st December 2023 shows a current liability of ₦800,000 and a non-current liability of ₦1,200,000. What is the company's net worth as at 31st December 2023?
A. ₦1,500,000
B. ₦2,000,000
C. ₦2,500,000
D. ₦3,000,000
Question 15
In a partnership account, if the capital of one partner is overdrawn by ₦5,000, what will be the effect on the partner's capital account?
A. ₦5,000 will be credited to the partner's capital account.
B. ₦5,000 will be debited to the partner's capital account.
C. ₦5,000 will be transferred to the partner's loan account.
D. ₦5,000 will be transferred to the partner's drawing account.

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