POST UTME IMS U 2018 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company uses a single-entry system to record its transactions. The company's cash book shows the following transactions: Debit: ₦10,000, Credit: ₦8,000. What is the net effect of the transactions on the company's equity?
A. The company's equity has increased by ₦2,000.
B. The company's equity has decreased by ₦2,000.
C. The company's equity has remained unchanged.
D. The company's equity has increased by ₦4,000.
Question 2
A company uses the straight-line method to depreciate its assets. The asset has a cost of ₦200,000, and it is expected to last for 5 years. What is the annual depreciation?
A. ₦40,000
B. ₦50,000
C. ₦60,000
D. ₦70,000
Question 3
A company has two departments: A and B. Department A has a profit of ₦100,000, and Department B has a loss of ₦50,000. What is the net profit of the company?
A. ₦50,000
B. ₦100,000
C. ₦150,000
D. ₦200,000
Question 4
A company uses the straight-line method of depreciation. If the asset's useful life is 5 years and the residual value is ₦10,000, what is the annual depreciation charge for an asset costing ₦50,000?
A. ₦8,000
B. ₦10,000
C. ₦12,000
D. ₦15,000
Question 5
A company prepares its final accounts for the year ended 31st December 2022. The company's trading account shows a profit of ₦50,000. The company's profit and loss account shows a net profit of ₦60,000. What is the company's net worth at the end of the year?
A. ₦110,000
B. ₦120,000
C. ₦130,000
D. ₦140,000
Question 6
A company has the following manufacturing costs: Direct Materials ₦50,000, Direct Labor ₦30,000, and Factory Overhead ₦20,000. What is the total amount of manufacturing costs?
A. ₦100,000
B. ₦80,000
C. ₦70,000
D. ₦60,000
Question 7
A company's income statement shows the following items: Cost of Goods Sold ₦200,000, Gross Profit ₦150,000, Operating Expenses ₦100,000, and Net Income ₦50,000. What is the total amount of expenses?
A. ₦250,000
B. ₦300,000
C. ₦350,000
D. ₦400,000
Question 8
A company prepares a trial balance but discovers that the debit and credit totals do not balance. The debit total is ₦180,000, while the credit total is ₦160,000. What is the cause of the discrepancy?
A. The company has not recorded a sale of ₦20,000.
B. The company has not recorded a purchase of ₦30,000.
C. The company has not recorded a deposit of ₦40,000.
D. The company has not recorded a withdrawal of ₦50,000.
Question 9
A company uses the double-entry system and maintains a ledger. The ledger shows the following transactions: Debit: ₦120,000, Credit: ₦100,000. What is the effect of this transaction on the company's equity?
A. The company's equity increases by ₦20,000.
B. The company's equity decreases by ₦20,000.
C. The company's equity remains unchanged.
D. The company's equity increases by ₦40,000.
Question 10
A company maintains a cash book and a general ledger. The cash book shows a balance of ₦12,000, but the bank statement shows a balance of ₦15,000. What is the most likely reason for the discrepancy?
A. The company has an outstanding cheque.
B. The bank has charged a fee for an overdraft.
C. The company has deposited cash into the bank but has not yet recorded it in the cash book.
D. The company has withdrawn cash from the bank but has not yet recorded it in the cash book.
Question 11
A company uses the weighted average method to value its inventory. The company has three types of inventory: A, B, and C. The cost of inventory A is ₦120,000, and it has a weightage of 30%. The cost of inventory B is ₦80,000, and it has a weightage of 40%. The cost of inventory C is ₦60,000, and it has a weightage of 30%. What is the total value of the inventory?
A. ₦180,000
B. ₦200,000
C. ₦220,000
D. ₦240,000
Question 12
A company has the following departmental accounts: Sales Department ₦50,000, Marketing Department ₦30,000, and Research and Development Department ₦20,000. What is the total amount of departmental expenses?
A. ₦100,000
B. ₦80,000
C. ₦70,000
D. ₦60,000
Question 13
A company issues 10,000 shares of ₦1 each at a premium of ₦0.50 per share. What is the total amount received from the issue of shares?
A. ₦5,500
B. ₦5,000
C. ₦5,200
D. ₦5,300
Question 14
A company prepares a trial balance but discovers that the debit and credit totals do not balance. The debit total is ₦150,000, while the credit total is ₦140,000. What is the cause of the discrepancy?
A. The company has not recorded a sale of ₦10,000.
B. The company has not recorded a purchase of ₦20,000.
C. The company has not recorded a deposit of ₦30,000.
D. The company has not recorded a withdrawal of ₦40,000.
Question 15
In a public sector accounting system, what is the primary purpose of the 'Budgetary Control' module?
A. To monitor and control the flow of funds within the organization
B. To prepare and present the organization's financial statements
C. To manage and allocate resources within the organization
D. To conduct audits and reviews of the organization's financial activities

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