POST UTME MOUNTAIN TOP UNIVERSITY 2020 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company issued 5,000, 10% shares of ₦20 each at a premium of ₦5. Calculate the amount received from the issue of shares.
A. ₦150,000
B. ₦160,000
C. ₦170,000
D. ₦180,000
Question 2
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Cash | ₦1,000 | | | 2nd Jan | Bank | | ₦1,500 | | 3rd Jan | Cash | ₦500 | | | 4th Jan | Bank | | ₦1,000 | The company's cash book balance on 31st Dec is ₦_____.
A. ₦1,500
B. ₦2,000
C. ₦2,500
D. ₦3,000
Question 3
A company's trading account for the year ended 31st December 2020 is as follows: Debit: ₠ 1,50,000 ₠ 2,00,000 ₠ 1,20,000 ₠ 50,000 ₠ 30,000 ₠ 20,000 ₠ 10,000 ₠ 5,000 Total Debit: ₠ 4,75,000 Credit: ₠ 3,00,000 ₠ 1,50,000 ₠ 1,20,000 ₠ 50,000 ₠ 30,000 ₠ 20,000 ₠ 10,000 ₠ 5,000 Total Credit: ₠ 4,75,000 What is the profit or loss for the year?
A. Profit ₠ 50,000
B. Loss ₠ 50,000
C. Profit ₠ 1,00,000
D. Loss ₠ 1,00,000
Question 4
A company issues 10,000 shares of ₦10 each at a premium of ₦5 per share. Calculate the total amount received by the company.
A. ₦100,000
B. ₦150,000
C. ₦200,000
D. ₦250,000
Question 5
A company's balance sheet shows the following balances: | Asset | Liability | Equity | | --- | --- | --- | | Cash | ₦50,000 | | | Bank | | ₦100,000 | | Stock | ₦150,000 | | | Capital | | ₦200,000 | The company's total assets are ₦_____.
A. ₦300,000
B. ₦350,000
C. ₦400,000
D. ₦450,000
Question 6
A company uses the straight-line method to depreciate its assets. If the asset's useful life is 5 years and the residual value is ₦0, what is the annual depreciation charge if the asset's cost is ₦120,000?
A. ₦24,000
B. ₦30,000
C. ₦36,000
D. ₦40,000
Question 7
A company issues 10,000 9% debentures of ₦100 each at a discount of 5% to a group of investors. Calculate the amount received by the company.
A. ₦900,000
B. ₦950,000
C. ₦1,000,000
D. ₦1,050,000
Question 8
A company issued 10,000 shares of ₠ 1 each at a premium of ₠ 2 per share. The shares were issued for ₠ 12,000 cash. Prepare the journal entry for the issue of shares.
A. Debit Share Capital ₠ 10,000, Credit Cash ₠ 10,000
B. Debit Share Capital ₠ 12,000, Credit Cash ₠ 10,000
C. Debit Share Capital ₠ 10,000, Credit Cash ₠ 12,000
D. Debit Share Capital ₠ 12,000, Credit Cash ₠ 12,000
Question 9
A firm has a cash book balance of ₦50,000 and a bank statement balance of ₦60,000. The bank statement shows a credit balance of ₦5,000 for a dishonored cheque. The cash book shows a debit balance of ₦2,000 for a bank overdraft. Calculate the correct balance of the firm's bank account.
A. ₦55,000
B. ₦57,000
C. ₦58,000
D. ₦59,000
Question 10
A company's trial balance as at 31st December 2020 is as follows: Debit: ₠ 1,50,000 ₠ 2,00,000 ₠ 1,20,000 ₠ 50,000 ₠ 30,000 ₠ 20,000 ₠ 10,000 ₠ 5,000 Total Debit: ₠ 5,75,000 Credit: ₠ 3,00,000 ₠ 1,50,000 ₠ 1,20,000 ₠ 50,000 ₠ 30,000 ₠ 20,000 ₠ 10,000 ₠ 5,000 Total Credit: ₠ 5,75,000 What is the company's net worth?
A. ₠ 5,75,000
B. ₠ 5,00,000
C. ₠ 6,00,000
D. ₠ 7,00,000
Question 11
A company issued 10,000 shares of £ 1 each at a premium of £ 0.50 per share. Calculate the total amount received from the issue of shares.
A. ₦25,000
B. ₦30,000
C. ₦35,000
D. ₦40,000
Question 12
A partnership has two partners, A and B. The capital accounts of A and B are ₦80,000 and ₦60,000 respectively. The profit-sharing ratio is 3:2. Calculate the profit to be shared by A.
A. ₦24,000
B. ₦30,000
C. ₦36,000
D. ₦42,000
Question 13
A partnership has three partners, A, B, and C. The capital accounts of A, B, and C are ₦60,000, ₦40,000, and ₦30,000 respectively. The profit-sharing ratio is 3:2:1. Calculate the profit to be shared by A.
A. ₦18,000
B. ₦24,000
C. ₦30,000
D. ₦36,000
Question 14
A company manufactures two products, X and Y. Product X requires 2 hours of labor and 3 units of raw material, while product Y requires 3 hours of labor and 2 units of raw material. If the company has 120 hours of labor available and 180 units of raw material available, how many units of product X can be produced?
A. 60 units
B. 80 units
C. 100 units
D. 120 units
Question 15
A company's trial balance shows the following balances: Sales: ₦ 100,000; Purchases: ₦ 80,000; Returns Outwards: ₦ 5,000. Calculate the cost of goods sold.
A. ₦75,000
B. ₦80,000
C. ₦85,000
D. ₦90,000

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