POST UTME MADONNA UNIVERSITY 2020 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
The following is a partial manufacturing account for XYZ Ltd.
A. ₦100,000
B. ₦120,000
C. ₦150,000
D. ₦180,000
Question 2
A company has the following ledger accounts: Cash 10,000; Accounts Receivable 20,000; Inventory 30,000; Prepaid Rent 40,000. What is the company's total assets?
A. 100,000
B. 120,000
C. 140,000
D. 160,000
Question 3
A company has two partners, A and B, who share profits in the ratio 3:2. The company's profit for the year is ₦120,000. How much profit will each partner receive?
A. ₦60,000
B. ₦80,000
C. ₦40,000
D. ₦100,000
Question 4
A company produces two products, X and Y, using two machines, A and B. The production process for X requires 2 hours on machine A and 3 hours on machine B, while the production process for Y requires 3 hours on machine A and 2 hours on machine B. If machine A operates for 12 hours and machine B operates for 15 hours, how many units of product X and Y should the company produce?
A. 10 units of X and 15 units of Y
B. 15 units of X and 10 units of Y
C. 20 units of X and 5 units of Y
D. 5 units of X and 20 units of Y
Question 5
In a self-balancing ledger, the control account is used to record the total of all subsidiary accounts. What is the purpose of the control account in a manufacturing company?
A. To record the total of all raw materials purchased
B. To record the total of all finished goods sold
C. To record the total of all direct labor costs
D. To ensure that the total of all subsidiary accounts is equal to the total of the control account
Question 6
A company's depreciation policy is based on the straight-line method. The cost of the asset is ₦100,000, and the useful life is 5 years. Calculate the annual depreciation.
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 7
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Cash | 10,000 | | | 2 Jan | Bank | | 5,000 | | 3 Jan | Cash | | 8,000 | | 4 Jan | Bank | | 3,000 | | 5 Jan | Cash | | 12,000 | Calculate the total credit transactions for the month.
A. ₦15,000
B. ₦20,000
C. ₦25,000
D. ₦30,000
Question 8
A company's trial balance shows the following balances: Accounts Payable ₦50,000, Sales Revenue ₦200,000, Cost of Goods Sold ₦150,000, and Common Stock ₦100,000. What is the total amount of assets?
A. ₦250,000
B. ₦300,000
C. ₦350,000
D. ₦400,000
Question 9
A company uses the perpetual inventory system. If the beginning inventory is ₦100,000, and purchases during the period are ₦150,000, what is the total cost of goods available for sale?
A. ₦250,000
B. ₦200,000
C. ₦150,000
D. ₦100,000
Question 10
A company has two departments, X and Y, with sales of ₦500,000 and ₦300,000 respectively. The profit percentage for department X is 25% and for department Y is 20%. What is the total profit?
A. ₦125,000
B. ₦150,000
C. ₦175,000
D. ₦200,000
Question 11
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Cash | 10,000 | | | 2 Jan | Bank | | 5,000 | | 3 Jan | Cash | | 8,000 | | 4 Jan | Bank | | 3,000 | | 5 Jan | Cash | | 12,000 | Calculate the cash balance on 5 Jan.
A. ₦10,000
B. ₦12,000
C. ₦15,000
D. ₦18,000
Question 12
A company uses a self-balancing ledger to record its transactions. The following accounts are listed: Cash, Bank, Accounts Payable, and Accounts Receivable. What is the purpose of the self-balancing ledger?
A. To record transactions
B. To balance the accounts
C. To prepare the trial balance
D. To prepare the final accounts
Question 13
A company uses the single entry system of accounting. The following transactions were recorded during the year:
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 14
A trader sells an article at a profit of 20% on an investment of ₦1,500. What is the selling price?
A. ₦1,800
B. ₦1,900
C. ₦2,000
D. ₦2,100
Question 15
A company uses the straight-line method to depreciate its assets. If the asset cost ₦150,000 and has a useful life of 5 years, what is the annual depreciation charge?
A. ₦30,000
B. ₦25,000
C. ₦20,000
D. ₦15,000

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