Practice Post UTME ESUT accounting 2023 Past Questions

Question 1

A company issued 10,000 shares of 1 par value at a premium of 3 per share. The proceeds from the sale of these shares were credited to the Share Capital account. What is the total amount credited to the Share Capital account?

A. ₦30,000

B. ₦40,000

C. ₦50,000

Correct D. ₦60,000

Correct Answer: D

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Question 2

A company has the following transactions: Purchased office equipment for ₦20,000, Paid rent for ₦15,000, and Purchased inventory for ₦30,000. What is the total amount of assets at the end of the period?

A. ₦65,000

B. ₦70,000

C. ₦75,000

Correct D. ₦80,000

Correct Answer: D

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Question 3

A company has the following transactions: Purchased office equipment for ₦20,000, Paid rent for ₦15,000, and Purchased inventory for ₦30,000. What is the total amount of expenses at the end of the period?

A. ₦20,000

B. ₦25,000

C. ₦30,000

Correct D. ₦35,000

Correct Answer: D

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Question 4

A company issued 10,000 shares of 1 par value at a premium of 3 per share. The proceeds from the sale of these shares were credited to the Share Capital account. What is the total amount credited to the Share Capital account?

A. ₦30,000

B. ₦40,000

C. ₦50,000

Correct D. ₦60,000

Correct Answer: D

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Question 5

A company has the following transactions: Purchased office equipment for ₦20,000, Paid rent for ₦15,000, and Purchased inventory for ₦30,000. What is the total amount of assets at the end of the period?

A. ₦65,000

B. ₦70,000

C. ₦75,000

Correct D. ₦80,000

Correct Answer: D

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Question 6

In a public sector accounting system, what is the primary purpose of the 'Chart of Accounts'?

Correct A. To record and report financial transactions

B. To classify and analyze financial data

C. To prepare and present financial statements

D. To manage and control public sector finances

Correct Answer: A

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Question 7

A company issues 1,000 shares of 10 par value at a premium of 5 per share. What is the total amount received from the sale of these shares?

A. ₦1,000,000

Correct B. ₦1,500,000

C. ₦2,000,000

D. ₦2,500,000

Correct Answer: B

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Question 8

A manufacturing company uses the weighted average method to assign overhead costs to jobs. If the total overhead costs are ₦500,000 and the total direct labor hours are 10,000, and the total direct labor hours for Job A are 2,000, what is the overhead cost per direct labor hour?

A. ₦25

Correct B. ₦50

C. ₦100

D. ₦200

Correct Answer: B

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Question 9

A company purchases a machine for ₦500,000 and depreciates it using the straight-line method over a useful life of 5 years. What is the annual depreciation charge?

Correct A. ₦100,000

B. ₦50,000

C. ₦25,000

D. ₦10,000

Correct Answer: A

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Question 10

A company issues 1,000 debentures of ₦1,000 each at a premium of 5%. What is the total amount received from the sale of these debentures?

A. ₦1,000,000

Correct B. ₦1,050,000

C. ₦1,100,000

D. ₦1,150,000

Correct Answer: B

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Question 11

The following is an extract from the financial statements of a public sector entity. Prepare a statement of changes in equity for the year ended 31st December 2022.

A. ₦1,000,000

Correct B. ₦2,000,000

C. ₦3,000,000

D. ₦4,000,000

Correct Answer: B

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Question 12

A company has the following transactions in its incomplete records: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Cash | 10,000 | | | 2nd Jan | Sales | | 15,000 | | 3rd Jan | Purchases | 8,000 | | | 4th Jan | Cash | | 12,000 | Complete the missing entries and prepare a trial balance.

A. ₦17,000

B. ₦18,000

Correct C. ₦19,000

D. ₦20,000

Correct Answer: C

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Question 13

The following is an extract from the financial statements of a partnership: | Partner's Name | Capital | Drawing | Balance | | --- | --- | --- | --- | | A | 50,000 | 10,000 | 40,000 | | B | 30,000 | 5,000 | 25,000 | | C | 20,000 | | 15,000 | Determine the amount of profit to be shared by each partner.

A. ₦25,000

B. ₦30,000

Correct C. ₦35,000

D. ₦40,000

Correct Answer: C

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Question 14

A company has the following transactions in its control accounts: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Sales | | 10,000 | | 2nd Jan | Purchases | 8,000 | | | 3rd Jan | Cash | | 12,000 | Prepare a statement of affairs.

A. ₦22,000

B. ₦23,000

Correct C. ₦24,000

D. ₦25,000

Correct Answer: C

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Question 15

The following is an extract from the financial statements of a company: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Sales | | 10,000 | | 2nd Jan | Purchases | 8,000 | | | 3rd Jan | Cash | | 12,000 | Determine the amount of profit to be shared by each partner.

A. ₦22,000

B. ₦23,000

Correct C. ₦24,000

D. ₦25,000

Correct Answer: C

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Question 16

In a public sector accounting system, what is the primary purpose of the 'Chart of Accounts'?

A. To record and report financial transactions

B. To classify and analyze financial data

C. To prepare and present financial statements

Correct D. To manage and control public sector finances

Correct Answer: D

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Question 17

A partnership has two partners, A and B, who share profits and losses in the ratio 3:2. If the total profit for the year is ₦120,000, how much will A receive?

Correct A. ₦90,000

B. ₦80,000

C. ₦70,000

D. ₦60,000

Correct Answer: A

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Question 18

A company uses the double-entry system of accounting. If it records a debit of ₦10,000 to 'Accounts Payable' and a credit of ₦10,000 to 'Cash', what is the effect on the company's balance sheet?

A. An increase in assets and a decrease in liabilities

B. A decrease in assets and an increase in liabilities

Correct C. No change in assets or liabilities

D. An increase in liabilities and a decrease in assets

Correct Answer: C

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Question 19

A company has a control account for 'Accounts Payable' with a balance of ₦50,000. If it receives a payment of ₦20,000 from a customer, what is the new balance in the control account?

Correct A. ₦30,000

B. ₦40,000

C. ₦50,000

D. ₦60,000

Correct Answer: A

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Question 20

A company uses a self-balancing ledger to record its transactions. If it records a debit of ₦10,000 to 'Accounts Payable' and a credit of ₦10,000 to 'Cash', what is the effect on the company's ledger balance?

A. An increase in the ledger balance

B. A decrease in the ledger balance

Correct C. No change in the ledger balance

D. A decrease in the ledger balance and an increase in the control account

Correct Answer: C

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Question 21

A company's cash book shows a balance of ₦120,000. However, the bank statement shows a balance of ₦150,000. The difference of ₦30,000 is due to an outstanding cheque of ₦20,000 and a deposit of ₦10,000. What is the correct balance in the cash book?

Correct A. ₦140,000

B. ₦130,000

C. ₦120,000

D. ₦110,000

Correct Answer: A

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Question 22

A partnership has two partners, A and B. The capital accounts of A and B are ₦100,000 and ₦80,000 respectively. The profit-sharing ratio is 3:2. What is the share of profit of partner A?

Correct A. ₦60,000

B. ₦80,000

C. ₦100,000

D. ₦120,000

Correct Answer: A

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Question 23

A company's trading account shows a profit of ₦200,000. The profit and loss account shows a net profit of ₦250,000. The balance sheet shows a net worth of ₦400,000. What is the correct balance in the profit and loss account?

Correct A. ₦350,000

B. ₦250,000

C. ₦200,000

D. ₦150,000

Correct Answer: A

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Question 24

A company's balance sheet shows a net worth of ₦500,000. The profit and loss account shows a net profit of ₦200,000. The trading account shows a profit of ₦300,000. What is the correct balance in the profit and loss account?

Correct A. ₦400,000

B. ₦500,000

C. ₦600,000

D. ₦700,000

Correct Answer: A

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Question 25

A company's cash book shows a balance of ₦150,000. However, the bank statement shows a balance of ₦180,000. The difference of ₦30,000 is due to an outstanding cheque of ₦20,000 and a deposit of ₦10,000. What is the correct balance in the cash book?

Correct A. ₦160,000

B. ₦140,000

C. ₦130,000

D. ₦120,000

Correct Answer: A

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