POST UTME IGBINEDION UNIVERSITY 2023 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company's balance sheet as at 31st December, 2022 is as follows: Assets ₦ 50,000 - Cash ₦ 20,000 - Accounts Receivable ₦ 30,000 - Inventory ₦ 10,000 - Prepaid Rent Liabilities ₦ 20,000 - Accounts Payable ₦ 10,000 - Notes Payable What is the company's total equity?
A. ₦ 30,000
B. ₦ 40,000
C. ₦ 50,000
D. ₦ 60,000
Question 2
A company has an account receivable of ₦500,000 and an account payable of ₦200,000. If the company's cash balance is ₦300,000, what is the net amount of cash available for distribution?
A. ₦200,000
B. ₦300,000
C. ₦400,000
D. ₦500,000
Question 3
A company uses the double-entry system of accounting. The following transactions occurred during the year:
A. Debit Cash 1,000 and Credit Accounts Receivable 1,000
B. Debit Accounts Receivable 1,000 and Credit Cash 1,000
C. Debit Cash 1,000 and Credit Accounts Payable 1,000
D. Debit Accounts Payable 1,000 and Credit Cash 1,000
Question 4
A company's trial balance as at 31st December, 2022 is as follows: Debit ₦ 50,000 - Raw Materials ₦ 20,000 - Wages ₦ 30,000 - Rent ₦ 10,000 - Salaries ₦ 20,000 - Depreciation ₦ 50,000 - Interest ₦ 10,000 - Miscellaneous Credit ₦ 30,000 - Sales ₦ 20,000 - Purchases ₦ 10,000 - Returns Outwards ₦ 5,000 - Bank Balance What is the company's net profit for the year?
A. ₦ 5,000
B. ₦ 10,000
C. ₦ 15,000
D. ₦ 20,000
Question 5
A company has a trial balance as follows: Accounts Receivable ₦50,000, Accounts Payable ₦30,000, Sales Revenue ₦200,000, Cost of Goods Sold ₦150,000. Prepare a balance sheet.
A. ₦150,000
B. ₦200,000
C. ₦250,000
D. ₦300,000
Question 6
A company has an account receivable of ₦500,000 and an account payable of ₦200,000. If the company's cash balance is ₦300,000, what is the net amount of cash available for distribution?
A. ₦200,000
B. ₦300,000
C. ₦400,000
D. ₦500,000
Question 7
A company issued 10,000 shares of ₦ 1 each at a premium of ₦ 2 per share. The issue expenses were ₦ 50,000. Calculate the total amount received from the issue of shares.
A. ₦ 200,000
B. ₦ 210,000
C. ₦ 220,000
D. ₦ 230,000
Question 8
A company has two departments: Manufacturing and Sales. The Manufacturing department has a total of 500 employees, with 200 working in the production line and 300 in other roles. The Sales department has 150 employees. If the company has a total of 700 employees, what is the percentage of employees in the Manufacturing department?
A. 30%
B. 40%
C. 50%
D. 60%
Question 9
A company, XYZ Ltd, has a manufacturing department that produces two products, A and B. The production costs for the two products are as follows: Product A: ₦100,000, Product B: ₦120,000. If the company produces 500 units of Product A and 300 units of Product B, calculate the total production cost.
A. ₦62,000,000
B. ₦65,000,000
C. ₦68,000,000
D. ₦71,000,000
Question 10
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 worth ₦80,000 on credit. Sold goods worth ₦100,000 on credit. Paid cash of ₦20,000 to settle part of the credit purchase of raw materials. What is the total amount of cash paid out by the company during the year?
A. ₦100,000
B. ₦120,000
C. ₦140,000
D. ₦160,000
Question 11
A company issues 1,000 shares of ₦10 each at a premium of ₦5 per share. If the company receives a total of ₦12,000,000, what is the amount received from the issue of shares?
A. ₦10,000,000
B. ₦11,000,000
C. ₦12,000,000
D. ₦13,000,000
Question 12
A company issues 10,000 debentures of ₦100 each at a discount of 5%. Calculate the amount of discount.
A. ₦50,000
B. ₦100,000
C. ₦150,000
D. ₦200,000
Question 13
A company's balance sheet as at 31st December, 2022 is as follows: Assets ₦ 50,000 - Cash ₦ 20,000 - Accounts Receivable ₦ 30,000 - Inventory ₦ 10,000 - Prepaid Rent Liabilities ₦ 20,000 - Accounts Payable ₦ 10,000 - Notes Payable What is the company's current ratio?
A. 2:1
B. 3:1
C. 4:1
D. 5:1
Question 14
A company's income statement shows the following information: ₦1,500,000 in revenue, ₦1,000,000 in expenses, and ₦500,000 in net income. What is the company's gross profit?
A. ₦500,000
B. ₦750,000
C. ₦1,000,000
D. ₦1,250,000
Question 15
A company's trial balance shows the following accounts:
A. Debit Sales 10,000 and Credit Cost of Goods Sold 10,000
B. Debit Cost of Goods Sold 10,000 and Credit Sales 10,000
C. Debit Sales 10,000 and Credit Accounts Receivable 10,000
D. Debit Accounts Receivable 10,000 and Credit Sales 10,000

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