POST UTME NILE UNIVERSITY 2025 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company uses the double-entry system of accounting. The company's ledger shows the following transactions: Debit Cash ₦100,000, Credit Accounts Payable ₦100,000. What is the effect of this transaction on the company's financial position?
A. The company's cash balance decreases by ₦100,000.
B. The company's accounts payable balance increases by ₦100,000.
C. The company's cash balance increases by ₦100,000.
D. The company's accounts payable balance decreases by ₦100,000.
Question 2
A company has the following transactions in its cash book: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Cash | 1000 | | | 2 Jan | Cash | 500 | | | 3 Jan | Cash | | 2000 | | 4 Jan | Cash | | 1500 | What is the balance in the cash account?
A. ₦1500
B. ₦2000
C. ₦2500
D. ₦3000
Question 3
A company's balance sheet as at 31st December 2024 shows the following: ₦150,000 in cash, ₦100,000 in accounts receivable, ₦50,000 in inventory, ₦20,000 in prepaid expenses, and ₦30,000 in equipment. Calculate the company's total assets.
A. ₦350,000
B. ₦400,000
C. ₦450,000
D. ₦500,000
Question 4
A public sector organization has the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Salaries | 100,000 | | | 2nd Jan | Salaries | | 80,000 | | 3rd Jan | Salaries | | 120,000 | | 4th Jan | Salaries | | 150,000 | What is the total amount of salaries paid during the month?
A. ₦350,000
B. ₦400,000
C. ₦450,000
D. ₦500,000
Question 5
A company's cash book for the month of January is as follows:
A. Cash 10,000, Bank 12,000, Outstanding Checks 2,000
B. Cash 12,000, Bank 10,000, Outstanding Deposits 2,000
C. Cash 10,000, Bank 10,000, Outstanding Checks 2,000
D. Cash 12,000, Bank 12,000, Outstanding Deposits 2,000
Question 6
A partnership has two partners, A and B. The capital accounts of A and B are ₦50,000 and ₦30,000 respectively. If the profit for the year is ₦20,000, and the drawings of A and B are ₦5,000 and ₦3,000 respectively, calculate the new capital balances of A and B.
A. A: ₦45,000, B: ₦27,000
B. A: ₦50,000, B: ₦30,000
C. A: ₦55,000, B: ₦35,000
D. A: ₦60,000, B: ₦40,000
Question 7
A company's balance sheet shows the following: | Assets | ₦ | Liabilities | ₦ | | --- | --- | --- | --- | | Cash | 10,000 | Bank Loan | 20,000 | | Debtors | 15,000 | Creditors | 10,000 | | Stock | 20,000 | Capital | 30,000 | What is the total amount of the company's liabilities?
A. ₦40,000
B. ₦50,000
C. ₦60,000
D. ₦70,000
Question 8
A company has a debt of ₦1,000,000, which is to be repaid in 5 years. If the company repays the debt in equal annual installments, what is the amount of each installment?
A. ₦200,000
B. ₦220,000
C. ₦240,000
D. ₦260,000
Question 9
A company has the following transactions in its ledger: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Purchases | 50,000 | | | 2nd Jan | Purchases | | 40,000 | | 3rd Jan | Purchases | | 60,000 | | 4th Jan | Purchases | | 80,000 | What is the total amount of purchases made during the month?
A. ₦220,000
B. ₦240,000
C. ₦260,000
D. ₦280,000
Question 10
A company uses the cash basis of accounting. The company's ledger shows the following transactions: Debit Cash ₦300,000, Credit Accounts Payable ₦300,000. What is the effect of this transaction on the company's financial position?
A. The company's cash balance increases by ₦300,000.
B. The company's accounts payable balance increases by ₦300,000.
C. The company's cash balance decreases by ₦300,000.
D. The company's accounts payable balance decreases by ₦300,000.
Question 11
A company uses the double-entry system of accounting. The following transactions occurred during the month of January:
A. Debit Cash 1,000 and Credit Accounts Receivable 1,000
B. Debit Accounts Receivable 1,000 and Credit Cash 1,000
C. Debit Cash 1,000 and Credit Accounts Payable 1,000
D. Debit Accounts Payable 1,000 and Credit Cash 1,000
Question 12
A company issues 10,000 shares of ₦5 each at a premium of ₦2 per share. If the company receives a total of ₦550,000, what is the amount received from the issue of shares?
A. ₦450,000
B. ₦500,000
C. ₦550,000
D. ₦600,000
Question 13
A company has two partners, A and B, who share profits in the ratio 3:2. The capital of the company is ₦100,000, divided between A and B in the ratio 5:3. If the profit for the year is ₦40,000, calculate the amount of profit that should be distributed to each partner.
A. ₦12,000
B. ₦20,000
C. ₦18,000
D. ₦22,000
Question 14
A company has the following transactions in its cash book: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Cash | 1000 | | | 2 Jan | Cash | 500 | | | 3 Jan | Cash | | 2000 | | 4 Jan | Cash | | 1500 | What is the balance in the cash account?
A. ₦1500
B. ₦2000
C. ₦2500
D. ₦3000
Question 15
A manufacturing company has the following costs for the month of January:
A. Direct Materials 10,000, Direct Labor 8,000, Manufacturing Overhead 12,000
B. Direct Materials 12,000, Direct Labor 10,000, Manufacturing Overhead 8,000
C. Direct Materials 8,000, Direct Labor 12,000, Manufacturing Overhead 10,000
D. Direct Materials 10,000, Direct Labor 12,000, Manufacturing Overhead 8,000

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