POST UTME MADONNA UNIVERSITY 2017 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company has the following partnership accounts: X: ₦100,000 Y: ₦80,000 Z: ₦60,000 What is the total amount of capital invested by the partners?
A. ₦240,000
B. ₦260,000
C. ₦280,000
D. ₦300,000
Question 2
A company has the following depreciation schedule: | Asset | Cost | Depreciation | Accumulated Depreciation | | --- | --- | --- | --- | | 1 | ₦100,000 | ₦20,000 | ₦10,000 | | 2 | ₦150,000 | ₦30,000 | ₦20,000 | | 3 | ₦200,000 | ₦40,000 | ₦30,000 | What is the total accumulated depreciation?
A. ₦80,000
B. ₦90,000
C. ₦100,000
D. ₦110,000
Question 3
A company issued 5,000, 10% debentures of ₦100 each at a discount of 5%. Calculate the amount received from debenture holders and the amount of discount.
A. ₦475,000 and ₦25,000
B. ₦475,000 and ₦20,000
C. ₦475,000 and ₦30,000
D. ₦475,000 and ₦35,000
Question 4
A company's balance sheet as at 31st Dec 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. ₦70,000
D. ₦75,000
Question 5
A company has the following trial balance: Debtors: ₦100,000 Creditors: ₦50,000 Capital: ₦200,000 Profit: ₦30,000 What is the total amount of assets recorded by the company?
A. ₦230,000
B. ₦240,000
C. ₦250,000
D. ₦260,000
Question 6
A company uses the single-entry system of accounting. The company's trial balance as at 31st December, 2017, shows the following balances: Cash ₦ 50,000, Accounts Payable ₦ 30,000, Common Stock ₦ 100,000, Retained Earnings ₦ 20,000, and Dividends ₦ 10,000. Prepare the company's balance sheet as at 31st December, 2017.
A. ₦ 50,000
B. ₦ 100,000
C. ₦ 150,000
D. ₦ 200,000
Question 7
A company's trading account shows a profit of ₦200,000. The company's profit and loss account shows a profit of ₦250,000. What is the company's net profit?
A. ₦200,000
B. ₦250,000
C. ₦300,000
D. ₦350,000
Question 8
A company produces two products, X and Y. The company's manufacturing account shows the following costs: Direct Materials ₦100,000, Direct Labor ₦150,000, and Factory Overhead ₦200,000. What is the total cost of production for product X?
A. ₦450,000
B. ₦550,000
C. ₦650,000
D. ₦750,000
Question 9
A company's balance sheet as at 31st December 2022, showed the following: Equity Share Capital ₦1,000,000, Profit and Loss Account ₦500,000, and Reserves ₦200,000. The company's profit for the year ended 31st December 2022, was ₦1,500,000. Calculate the amount of dividend to be paid to the shareholders.
A. ₦1,000,000
B. ₦1,200,000
C. ₦1,500,000
D. ₦2,000,000
Question 10
A company uses the single-entry system of accounting. The company's trial balance as at 31st December, 2017, shows the following balances: Cash ₦ 50,000, Accounts Payable ₦ 30,000, Common Stock ₦ 100,000, Retained Earnings ₦ 20,000, and Dividends ₦ 10,000. Prepare the company's statement of changes in equity for the year ended 31st December, 2017.
A. ₦ 50,000
B. ₦ 100,000
C. ₦ 150,000
D. ₦ 200,000
Question 11
A company's trading account for the year ended 31st December 2022, showed a profit of ₦1,500,000. The balance on the capital account of the owner, who is the only shareholder, was ₦500,000. The balance on the drawing account was ₦200,000. The company's profit-sharing ratio is 3:2. Calculate the amount of profit to be distributed to the shareholder.
A. ₦1,000,000
B. ₦1,200,000
C. ₦1,500,000
D. ₦2,000,000
Question 12
A company has the following cash book: | Date | Description | Debit | Credit | | --- | --- | --- | --- | | 1 | Purchase of raw materials | ₦10,000 | | | 2 | Sale of finished goods | | ₦20,000 | | 3 | Purchase of machinery | ₦50,000 | | What is the total cash balance?
A. ₦60,000
B. ₦70,000
C. ₦80,000
D. ₦90,000
Question 13
A company's trial balance shows an error of ₦5,000. The error is due to a mistake in the journal entry for the purchase of office equipment. The correct entry should have been debited to 'Office Equipment' and credited to 'Cash'.
A. ₦5,000 (Office Equipment) - ₦5,000 (Cash)
B. ₦5,000 (Cash) - ₦5,000 (Office Equipment)
C. ₦10,000 (Office Equipment) - ₦10,000 (Cash)
D. ₦10,000 (Cash) - ₦10,000 (Office Equipment)
Question 14
A company's income statement shows a net loss of ₦150,000. The loss is due to a decrease in revenue of ₦250,000 and an increase in expenses of ₦100,000.
A. ₦150,000
B. ₦200,000
C. ₦250,000
D. ₦300,000
Question 15
A company uses the single-entry system of accounting. The company's trial balance as at 31st December, 2017, shows the following balances: Cash ₦ 50,000, Accounts Payable ₦ 30,000, Common Stock ₦ 100,000, Retained Earnings ₦ 20,000, and Dividends ₦ 10,000. Prepare the company's statement of changes in equity for the year ended 31st December, 2017.
A. ₦ 50,000
B. ₦ 100,000
C. ₦ 150,000
D. ₦ 200,000

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