POST UTME GREENFIELD UNIVERSITY 2023 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company has the following transactions for the year: sale of goods, ₦1,000,000; purchase of goods, ₦800,000; and purchase of equipment, ₦200,000. The company uses the cash method of accounting. What is the net income for the year?
A. ₦200,000
B. ₦300,000
C. ₦400,000
D. ₦500,000
Question 2
A company issued 10,000 shares of ₦1 each at a premium of ₦0.50 per share. The shares were subscribed for by the public for ₦1,000,000. Calculate the amount received from the public for the shares issued.
A. ₦0.50
B. ₦1,000,000
C. ₦1,050,000
D. ₦1,050,500
Question 3
A company's bank statement shows a balance of ₦25,000, but the company's cash book shows a balance of ₦30,000. What is the reason for the discrepancy?
A. Bank charges
B. Interest earned
C. Deposits in transit
D. Cheques issued but not yet presented
Question 4
A company issues 1,000 shares of ₦10 each at a premium of ₦5 per share. The company receives a total of ₦15,000 from the sale of shares. What is the correct journal entry to record the issue of shares?
A. Debit Share Capital ₦15,000, Credit Cash ₦15,000
B. Debit Share Premium ₦5,000, Credit Share Capital ₦10,000
C. Debit Cash ₦15,000, Credit Share Capital ₦10,000
D. Debit Share Premium ₦5,000, Credit Cash ₦5,000
Question 5
A company's balance sheet shows a decrease in inventory of ₦50,000 and an increase in accounts payable of ₦30,000. Calculate the net change in working capital.
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000
Question 6
A company uses the single entry system of accounting. The company's sole proprietor, John, has a capital account of ₦100,000. During the year, John withdrew ₦20,000 from the business for personal use. What is the correct journal entry to record John's withdrawal?
A. Debit Capital Account ₦20,000, Credit Drawings ₦20,000
B. Debit Drawings ₦20,000, Credit Capital Account ₦20,000
C. Debit Capital Account ₦20,000, Credit Cash ₦20,000
D. Debit Cash ₦20,000, Credit Capital Account ₦20,000
Question 7
A company issues 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 8
A company has the following transactions for the year: sale of goods, ₦1,000,000; purchase of goods, ₦800,000; and purchase of equipment, ₦200,000. The company uses the accrual method of accounting. What is the net income for the year?
A. ₦200,000
B. ₦300,000
C. ₦400,000
D. ₦500,000
Question 9
A company has the following transactions for the year: sale of goods, ₦1,000,000; purchase of goods, ₦800,000; and purchase of equipment, ₦200,000. The company uses the accrual method of accounting. What is the total assets for the year?
A. ₦1,200,000
B. ₦1,400,000
C. ₦1,600,000
D. ₦1,800,000
Question 10
A company issues 10,000 shares of ₦10 each at a premium of ₦5 per share. If the company receives a total of ₦1,500,000, what is the amount received from the issue of shares?
A. ₦1,000,000
B. ₦1,200,000
C. ₦1,500,000
D. ₦1,800,000
Question 11
A company's trial balance shows a debit balance of ₦12,000 in the 'Rent Expense' account. However, the company's accounting records indicate that the rent expense for the year was ₦15,000. What is the correct journal entry to record the adjustment?
A. Debit Rent Expense ₦3,000, Credit Cash ₦3,000
B. Debit Rent Expense ₦3,000, Credit Rent Payable ₦3,000
C. Debit Rent Expense ₦3,000, Credit Rent Expense ₦3,000
D. Debit Rent Expense ₦3,000, Credit Cash ₦15,000
Question 12
A company issued 10,000 shares of ₦1 each at a premium of ₦0.50 per share. The shares were subscribed for by the public for ₦1,000,000. Calculate the amount received from the public for the shares issued.
A. ₦0.50
B. ₦1,000,000
C. ₦1,050,000
D. ₦1,050,500
Question 13
A company issued 10,000, 5% shares of ₦10 each at a premium of 20%. The company also issued 5,000, 10% debentures of ₦100 each at a premium of 10%. Calculate the amount of premium to be written off in the first year.
A. ₦25,000
B. ₦50,000
C. ₦75,000
D. ₦100,000
Question 14
A partnership has two partners, A and B. The capital accounts of A and B are ₦50,000 and ₦30,000 respectively. The profit-sharing ratio is 3:2. The profit for the year is ₦20,000. Prepare the profit-sharing statement.
A. ₦12,000
B. ₦15,000
C. ₦18,000
D. ₦20,000
Question 15
A company uses the job order costing method. The following data are available for the current year: direct materials used, ₦120,000; direct labor, ₦150,000; and overhead, ₦180,000. The company has a total of 10 jobs in production. If the total cost of all jobs is ₦1,500,000, what is the total cost per job?
A. ₦120,000
B. ₦150,000
C. ₦180,000
D. ₦150,000

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