POST UTME IGBINEDION UNIVERSITY 2018 Accounting | Objective

Are you preparing for POST UTME IGBINEDION UNIVERSITY exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2018 Accounting (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
In a manufacturing company, the following transactions occurred during the year: Purchased raw materials worth ₦120,000 on credit. Sold goods worth ₦150,000 for cash. Purchased a machine for ₦80,000 on credit. Sold a machine for ₦60,000 for cash. What is the net effect on the company's cash position?
Correct A. ₦30,000 decrease
B. ₦30,000 increase
C. ₦60,000 decrease
D. ₦60,000 increase

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 2
A partnership is formed between two individuals, A and B, with a capital contribution of ₦200,000 and ₦300,000 respectively. After one year, the profit is divided in the ratio 2:3. What is the total profit for the year?
A. ₦50,000
Correct B. ₦60,000
C. ₦70,000
D. ₦80,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 3
A company's trial balance shows the following balances: Debtors: ₦150,000 Creditors: ₦100,000 What is the net effect on the company's cash position?
Correct A. ₦50,000 increase
B. ₦50,000 decrease
C. ₦100,000 increase
D. ₦100,000 decrease

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 4
A public sector organization receives a grant of ₦500,000 from the government. The grant is to be used for a specific project. What is the accounting treatment for the grant?
Correct A. Recognized as revenue
B. Recognized as expense
C. Recognized as asset
D. Recognized as liability

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 5
A company's bank reconciliation statement shows the following: Bank balance: ₦200,000 Cash in hand: ₦50,000 What is the total cash available to the company?
Correct A. ₦250,000
B. ₦200,000
C. ₦150,000
D. ₦100,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 6
A company produces three products: A, B, and C. The selling price of each product is ₦500, ₦600, and ₦700 respectively. The total cost of production for the three products is ₦150,000. If the company sells 200 units of product A, 150 units of product B, and 100 units of product C, calculate the profit made by the company.
Correct A. ₦50,000
B. ₦60,000
C. ₦70,000
D. ₦80,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 7
A partnership is formed between two individuals, John and Mary. John invests ₦100,000 and Mary invests ₦150,000. After one year, the profits are shared in the ratio 2:3. If the total profit for the year is ₦30,000, how much does John receive?
A. ₦6,000
Correct B. ₦8,000
C. ₦10,000
D. ₦12,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 8
A company uses the straight-line method of depreciation. The cost of a machine is ₦120,000 and its useful life is 5 years. If the machine is sold after 3 years, what is the amount of depreciation for the 3rd year?
A. ₦20,000
B. ₦24,000
Correct C. ₦28,000
D. ₦32,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 9
A company has the following trial balance: Debitors ₦50,000, Creditors ₦30,000, Capital ₦100,000, Profit and Loss Account ₦20,000. What is the amount of the company's net worth?
A. ₦120,000
B. ₦130,000
C. ₦140,000
Correct D. ₦150,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 10
A company uses the single entry system of accounting. The following transactions are recorded: Purchase of goods ₦50,000, Sales of goods ₦70,000, Purchase of machinery ₦30,000. What is the total amount of the company's assets?
A. ₦130,000
B. ₦140,000
C. ₦150,000
Correct D. ₦160,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 11
A company issued 10,000 shares of 1 par value at a premium of 3 per share. The proceeds from the issue of shares were credited to a share capital account. Prepare the journal entry for the issue of shares.
Correct A. Debit Share Capital 30,000, Credit Cash 30,000
B. Debit Share Capital 10,000, Credit Cash 10,000
C. Debit Share Capital 30,000, Credit Cash 10,000
D. Debit Share Capital 10,000, Credit Cash 30,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 12
A company purchased a machine for ₦500,000. The machine is expected to have a useful life of 5 years and a residual value of ₦50,000. Calculate the annual depreciation using the straight-line method.
Correct A. ₦90,000
B. ₦92,000
C. ₦95,000
D. ₦98,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 13
A government agency received a grant of ₦1,500,000 to implement a project. The project was completed within the stipulated time and the agency incurred a total expenditure of ₦1,800,000. Calculate the amount of cash received from the government agency.
Correct A. ₦300,000
B. ₦400,000
C. ₦500,000
D. ₦600,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 14
A company's cash book showed a balance of ₦50,000. The company's bank statement showed a balance of ₦60,000. The bank statement included a credit of ₦10,000 for a dishonored cheque. Calculate the correct balance of the company's cash book.
Correct A. ₦40,000
B. ₦50,000
C. ₦60,000
D. ₦70,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 15
A company's manufacturing account showed a balance of ₦200,000. The company's trading account showed a balance of ₦300,000. Calculate the company's profit for the year.
Correct A. ₦100,000
B. ₦200,000
C. ₦300,000
D. ₦400,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 16
In a partnership account, if the capital of A is ₦120,000, B is ₦90,000, and C is ₦80,000, and the profit-sharing ratio is 3:2:1, what is the total profit-sharing ratio?
Correct A. 5:3:2
B. 3:2:1
C. 6:4:2
D. 4:3:2

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 17
A company uses the weighted average method to value its inventory. The following data is available for the year ended December 31, 2022: Cost of goods available for sale: ₦1,500,000 Beginning inventory: ₦300,000 Purchases: ₦900,000 Ending inventory: ₦200,000 What is the cost of goods sold?
Correct A. ₦1,200,000
B. ₦1,300,000
C. ₦1,400,000
D. ₦1,500,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 18
A company has the following transactions related to its manufacturing department: 1. Purchased raw materials for ₦100,000 2. Consumed raw materials in production: ₦80,000 3. Sold goods for ₦120,000 4. Paid wages to employees: ₦60,000 5. Depreciated factory equipment: ₦20,000 What is the total cost of goods manufactured?
Correct A. ₦180,000
B. ₦200,000
C. ₦220,000
D. ₦240,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 19
A government agency has the following transactions related to its public sector accounting: 1. Received revenue from taxes: ₦500,000 2. Paid salaries to employees: ₦300,000 3. Purchased office supplies: ₦20,000 4. Transferred funds to another government agency: ₦100,000 What is the total amount of revenue received?
Correct A. ₦500,000
B. ₦600,000
C. ₦700,000
D. ₦800,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 20
A company uses the straight-line method to depreciate its assets. The following data is available for the year ended December 31, 2022: Cost of asset: ₦500,000 Estimated useful life: 5 years Salvage value: ₦50,000 What is the annual depreciation expense?
Correct A. ₦90,000
B. ₦100,000
C. ₦110,000
D. ₦120,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 21
A company has the following transactions related to its control accounts: 1. Purchased raw materials for ₦100,000 2. Consumed raw materials in production: ₦80,000 3. Sold goods for ₦120,000 4. Paid wages to employees: ₦60,000 5. Deposited cash into the bank: ₦50,000 What is the total amount of cash deposited?
Correct A. ₦50,000
B. ₦60,000
C. ₦70,000
D. ₦80,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 22
A company uses the self-balancing ledger system. The following data is available for the year ended December 31, 2022: Debit balance: ₦500,000 Credit balance: ₦300,000 What is the net balance?
Correct A. ₦200,000
B. ₦300,000
C. ₦400,000
D. ₦500,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 23
A company has the following transactions related to its partnership accounts: 1. A and B invested ₦200,000 and ₦150,000 respectively 2. C invested ₦100,000 3. The profit-sharing ratio is 3:2:1 What is the total profit-sharing ratio?
Correct A. 5:3:2
B. 3:2:1
C. 6:4:2
D. 4:3:2

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 24
A company uses the single entry system of accounting. The following transactions were recorded during the year:
A. ₦1,000
Correct B. ₦2,000
C. ₦3,000
D. ₦4,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 25
A company's trial balance as at 31st December 2022 is as follows:
A. ₦100,000
B. ₦200,000
Correct C. ₦300,000
D. ₦400,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Help others prepare! Share this practice hub:
Chat with Support