POST UTME COVENANT UNIVERSITY 2018 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company issues 10,000, 10% debentures of ₦100 each at a discount of 5%. Calculate the amount received from debenture holders.
A. ₦9,500,000
B. ₦9,900,000
C. ₦10,000,000
D. ₦10,500,000
Question 2
A company uses the straight-line method of depreciation. If the asset cost ₦ 500,000 and has a residual value of ₦ 50,000, what is the annual depreciation charge if the asset is used for 5 years?
A. ₦ 90,000
B. ₦ 100,000
C. ₦ 110,000
D. ₦ 120,000
Question 3
A company issued 5,000, 10% debentures of ₦100 each at a discount of 5%. Calculate the amount received from the debenture holders.
A. ₦475,000
B. ₦480,000
C. ₦485,000
D. ₦490,000
Question 4
A company issued 5,000 shares of ₦1 each at a premium of ₦0.50 per share. Calculate the total amount received from the issue of shares.
A. ₣0,250
B. ₣0,500
C. ₣0,750
D. ₣0,950
Question 5
A company has a capital of ₦1,500,000 and a reserve of ₦300,000. The company issues 15,000, 10% shares of ₦10 each at a premium of ₦3. Calculate the amount received from share holders.
A. ₦225,000
B. ₦235,000
C. ₦245,000
D. ₦255,000
Question 6
A partnership has two partners, A and B. Partner A has a 60% interest in the partnership, while partner B has a 40% interest. If the partnership's profit is ₦180,000, how much will partner A receive?
A. ₦108,000
B. ₦90,000
C. ₦120,000
D. ₦150,000
Question 7
A company's single entry system showed a balance of ₦80,000 in the assets account. However, the trial balance showed a balance of ₦90,000. Prepare the necessary journal entry to correct the error.
A. Debit Assets ₦10,000, Credit Profit and Loss Account ₦10,000
B. Debit Profit and Loss Account ₦10,000, Credit Assets ₦10,000
C. Debit Bank ₦10,000, Credit Assets ₦10,000
D. Debit Assets ₦10,000, Credit Bank ₦10,000
Question 8
A company's trading account for the year shows a profit of ₦150,000. The company also has a non-trading income of ₦20,000. Calculate the company's total profit for the year.
A. ₦170,000
B. ₦180,000
C. ₦190,000
D. ₦200,000
Question 9
The following trial balance was extracted from the ledger of a government ministry. Prepare the ledger accounts for the assets and liabilities.
A. Assets: Cash ₦ 100,000, Prepaid Rent ₦ 50,000, Office Equipment ₦ 200,000. Liabilities: Accrued Expenses ₦ 30,000.
B. Assets: Cash ₦ 100,000, Prepaid Rent ₦ 50,000, Office Equipment ₦ 200,000. Liabilities: Accrued Expenses ₦ 20,000.
C. Assets: Cash ₦ 100,000, Prepaid Rent ₦ 50,000, Office Equipment ₦ 200,000. Liabilities: Accrued Expenses ₦ 40,000.
D. Assets: Cash ₦ 100,000, Prepaid Rent ₦ 50,000, Office Equipment ₦ 200,000. Liabilities: Accrued Expenses ₦ 50,000.
Question 10
A company has a capital of ₦1,000,000 and a reserve of ₦200,000. The company issues 10,000, 10% shares of ₦10 each at a premium of ₦2. Calculate the amount received from share holders.
A. ₦110,000
B. ₦120,000
C. ₦130,000
D. ₦140,000
Question 11
A company's balance sheet shows a total assets of ₦500,000 and a total liabilities of ₦300,000. Calculate the company's net worth.
A. ₦200,000
B. ₦300,000
C. ₦400,000
D. ₦500,000
Question 12
A firm maintains a cash book and a bank statement. The cash book shows a balance of ₦120,000, while the bank statement shows a balance of ₦150,000. The difference is due to a bank error. Calculate the correct balance.
A. ₦30,000
B. ₦35,000
C. ₦40,000
D. ₦45,000
Question 13
A company's departmental accounts for the year ended December 31, 2022, show the following: 'Sales 100,000, Cost of Goods Sold 60,000, Gross Profit 40,000, Operating Expenses 10,000, Net Profit 30,000'. What is the company's gross profit percentage?
A. 40%
B. 50%
C. 60%
D. 70%
Question 14
A company issues 10,000, 9% debentures of ₦100 each at a premium of 5%. Calculate the amount received from the debenture holders and the amount of premium on the debentures.
A. ₦1,050,000
B. ₦1,000,000
C. ₦950,000
D. ₦900,000
Question 15
A manufacturing company uses a job costing system. The following data are extracted from the company's records for the month of January: Direct Materials: ₦0,000 Direct Labour: ₣0,000 Overheads: ₢0,000 Total Cost: ₥0,000 Calculate the cost of production per unit.
A. ₡5
B. ₢0
C. ₢5
D. ₣0

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