POST UTME JOSEPH AYO BABALOLA UNIVERSITY 2020 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
In a partnership account, what is the correct method of calculating the capital of a partner who has been absent for a year?
A. Capital is calculated at the beginning of the year.
B. Capital is calculated at the end of the year.
C. Capital is calculated at the average of the beginning and end of the year.
D. Capital is calculated at the beginning of the year and adjusted for the absence.
Question 2
A company has the following transactions in its cash book:
A. ₦60,000
B. ₦70,000
C. ₦80,000
D. ₦90,000
Question 3
A company uses the single-entry system of accounting. The following transactions were recorded in the cash book during the year:
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 4
A company has a cash book that shows a balance of ₦100,000. However, the bank statement shows a balance of ₦120,000. What is the reason for the difference?
A. The cash book balance includes a deposit that has not been recorded in the bank statement
B. The bank statement balance includes a credit that has not been recorded in the cash book
C. The cash book balance includes a credit that has not been recorded in the bank statement
D. The bank statement balance includes a deposit that has not been recorded in the cash book
Question 5
A company has the following transactions in its cash book:
A. ₦25,000
B. ₦35,000
C. ₦45,000
D. ₦55,000
Question 6
A company issued 5,000, 10% debentures of ₦100 each at a discount of 5%. Calculate the amount received from debenture holders.
A. ₦475,000
B. ₦475,500
C. ₦475,000
D. ₦475,500
Question 7
A company's balance sheet as at 31 December 2020 is as follows: | Particulars | ₦ | ₦ | | --- | --- | --- | | Assets | 1,500,000 | | | Liabilities | 1,000,000 | | | Capital | | 500,000 | What is the value of the capital?
A. ₦500,000
B. ₦600,000
C. ₦700,000
D. ₦800,000
Question 8
A company has a manufacturing department that produces two products: A and B. Product A has a direct material cost of ₦50,000 and a direct labor cost of ₦30,000. Product B has a direct material cost of ₦40,000 and a direct labor cost of ₦20,000. What is the total direct material cost for the company?
A. ₦90,000
B. ₦80,000
C. ₦90,000
D. ₦80,000
Question 9
A company's balance sheet as at 31 Dec 20XX is as follows: | Assets | ₦ | Liabilities | ₦ | | --- | --- | --- | --- | | Cash | 10,000 | Debentures | 20,000 | | Bank | 15,000 | Share Capital | 30,000 | | Stock | 25,000 | Profit & Loss | 10,000 | What is the total amount of liabilities?
A. ₦60,000
B. ₦65,000
C. ₦60,000
D. ₦65,000
Question 10
A company's balance sheet as at 31 Dec 20XX is as follows: | Assets | ₦ | Liabilities | ₦ | | --- | --- | --- | --- | | Cash | 10,000 | Debentures | 20,000 | | Bank | 15,000 | Share Capital | 30,000 | | Stock | 25,000 | Profit & Loss | 10,000 | What is the total amount of assets?
A. ₦60,000
B. ₦65,000
C. ₦60,000
D. ₦65,000
Question 11
A partnership has two partners: John and Mary. John's capital account balance is ₦50,000 and Mary's capital account balance is ₦30,000. If the partnership distributes a dividend of ₦20,000, how much will John receive?
A. ₦15,000
B. ₦10,000
C. ₦12,500
D. ₦20,000
Question 12
A company has the following transactions in its cash book:
A. ₦35,000
B. ₦45,000
C. ₦55,000
D. ₦65,000
Question 13
A company uses the double-entry system of accounting. The following transactions are recorded in the journal: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Cash | 10,000 | | | 1 Jan | Equipment | | 10,000 | | 15 Jan | Rent | | 5,000 | | 20 Jan | Sales | | 15,000 | What is the total amount of the debit entries?
A. ₦15,000
B. ₦20,000
C. ₦25,000
D. ₦30,000
Question 14
A company has the following transactions in its cash book:
A. ₦55,000
B. ₦65,000
C. ₦75,000
D. ₦85,000
Question 15
A company's trial balance shows a discrepancy of ₦5,000 between the debit and credit sides. The accountant suspects that the discrepancy is due to an error in the journal entries. Which of the following steps should the accountant take to correct the error?
A. Reconcile the trial balance by investigating the journal entries
B. Recompute the trial balance from the ledger accounts
C. Adjust the trial balance by adding the discrepancy to the debit or credit side
D. Reopen the accounting period to correct the error

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