POST UTME ELIZADE UNIVERSITY 2022 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company issued 10,000 shares of 1 par value at a premium of 3 per share. The shares were sold for 6 each. Calculate the total amount received from the sale of shares.
A. ₦30,000,000
B. ₦40,000,000
C. ₦50,000,000
D. ₦60,000,000
Question 2
A company's trading account shows a profit of ₦200,000. The profit and loss account shows a profit of ₦250,000.
A. ₦50,000
B. ₦100,000
C. ₦150,000
D. ₦200,000
Question 3
A company has the following transactions: Purchased office supplies for 1,000, Purchased equipment for 10,000, and Paid salaries of 5,000. Prepare the accounting equation to record these transactions.
A. Assets 16,000, Liabilities 0, Equity 16,000
B. Assets 16,000, Liabilities 0, Equity 16,000
C. Assets 16,000, Liabilities 0, Equity 16,000
D. Assets 16,000, Liabilities 0, Equity 16,000
Question 4
A company's balance sheet shows a total assets of ₦500,000. The total liabilities is ₦300,000.
A. ₦200,000
B. ₦250,000
C. ₦300,000
D. ₦350,000
Question 5
A company's balance sheet as at 31st December 2022 is as follows: Assets: ₦2,500,000 Equity: ₦1,500,000 Liabilities: ₦1,000,000 Calculate the current ratio.
A. 2.5
B. 2.0
C. 1.5
D. 1.0
Question 6
A company issued 5,000 debentures of ₦1,000 each at a premium of 5%. Calculate the total amount received from the sale of debentures.
A. ₦50,000,000
B. ₦55,000,000
C. ₦60,000,000
D. ₦65,000,000
Question 7
A company has the following transactions: Purchased office supplies for 1,000, Purchased equipment for 10,000, and Paid salaries of 5,000. Prepare the accounting equation to record these transactions.
A. Assets 16,000, Liabilities 0, Equity 16,000
B. Assets 16,000, Liabilities 0, Equity 16,000
C. Assets 16,000, Liabilities 0, Equity 16,000
D. Assets 16,000, Liabilities 0, Equity 16,000
Question 8
A company has a departmental account with the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 | Purchase of raw materials | ₦10,000 | | | 2 | Sale of finished goods | | ₦15,000 | | 3 | Purchase of machinery | ₦20,000 | | | 4 | Sale of services | | ₦5,000 | What is the net profit of the department?
A. ₦25,000
B. ₦30,000
C. ₦20,000
D. ₦15,000
Question 9
A company prepares its trial balance on December 31, 2022. The trial balance shows a debit balance in the accounts receivable account of ₦100,000. The company's ledger shows a credit balance in the accounts receivable account of ₦80,000. What is the reason for the difference?
A. The company has a bank overdraft.
B. The company has a cash credit balance.
C. The company has a bank overdraft and a cash credit balance.
D. The company has a cash debit balance.
Question 10
A company has the following transactions: Purchased office supplies for 1,000, Purchased equipment for 10,000, and Paid salaries of 5,000. Prepare the financial statements to record these transactions.
A. Office Supplies 1,000, Equipment 10,000, Salaries Expense 5,000
B. Office Supplies 1,000, Equipment 10,000, Salaries Expense 5,000
C. Office Supplies 1,000, Equipment 10,000, Salaries Expense 5,000
D. Office Supplies 1,000, Equipment 10,000, Salaries Expense 5,000
Question 11
A company uses the single-entry system of accounting. The company's cash account shows a debit balance of ₦120,000. The company's bank statement shows a balance of ₦150,000. What is the reason for the difference?
A. The company has a bank overdraft.
B. The company has a cash credit balance.
C. The company has a bank overdraft and a cash credit balance.
D. The company has a cash debit balance.
Question 12
A company uses the weighted average method of inventory valuation. The following data is available for the year ended 31st December 2022: Opening stock: 100 units @ ₦50 each Purchases: 500 units @ ₦60 each Returns inwards: 20 units @ ₦50 each Sales: 600 units @ ₦80 each Closing stock: 150 units @ ₦60 each Calculate the cost of goods sold for the year.
A. ₦32,000
B. ₦35,000
C. ₦38,000
D. ₦40,000
Question 13
A company prepares its trial balance on December 31, 2022. The trial balance shows a debit balance in the accounts payable account of ₦50,000. The company's ledger shows a credit balance in the accounts payable account of ₦30,000. What is the reason for the difference?
A. The company has a bank overdraft.
B. The company has a cash credit balance.
C. The company has a bank overdraft and a cash credit balance.
D. The company has a cash debit balance.
Question 14
A company issued 10,000 shares of £ 1 each at a premium of £ 0.50 per share. Calculate the total amount received from the issue of shares.
A. ₦12,500
B. ₦12,000
C. ₦11,500
D. ₦11,000
Question 15
A company's trading account for the year ended 31st December 2022 is as follows: Sales: ₦1,500,000 Returns outwards: ₦50,000 Returns inwards: ₦20,000 Cost of goods sold: ₦900,000 Opening stock: ₦150,000 Closing stock: ₦200,000 Calculate the gross profit for the year.
A. ₦450,000
B. ₦400,000
C. ₦350,000
D. ₦300,000

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