POST UTME NOUN 2020 Accounting | Objective

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Question 1
A company's cash book as at 31st December, 2019 is as follows: Cash ₦50,000 Bank ₦20,000 Total ₦70,000 What is the company's cash balance as at 31st December, 2019?
A. ₦60,000
B. ₦70,000
C. ₦80,000
D. ₦90,000
Question 2
A partnership is formed by two partners, A and B, who contribute ₦50,000 and ₦30,000 respectively. The profit is to be shared in the ratio 2:1. If the profit for the year is ₦60,000, how much will A receive?
A. ₦30,000
B. ₦40,000
C. ₦50,000
D. ₦60,000
Question 3
A company has the following ledger balances: Cash 10,000, Accounts Payable 15,000, Common Stock 20,000, and Retained Earnings 30,000. What is the total amount of assets on the balance sheet?
A. 55,000
B. 65,000
C. 75,000
D. 85,000
Question 4
A company uses a self-balancing ledger to record its transactions. The ledger has the following accounts: cash ₦10,000, accounts payable ₦5,000, and accounts receivable ₦5,000. What is the total amount of the company's assets?
A. ₦10,000
B. ₦15,000
C. ₦20,000
D. ₦25,000
Question 5
A company has the following incomplete records: cash ₦5,000, accounts payable ₦2,000, and accounts receivable ₦3,000. What is the total amount of the company's assets?
A. ₦10,000
B. ₦12,000
C. ₦15,000
D. ₦18,000
Question 6
A company's trial balance shows a debit balance of ₦15,000 in the 'Rent Expense' account. However, the company's accounting records show that it has paid ₦20,000 in rent for the year. What is the correct journal entry to record the payment?
A. Debit Rent Expense ₦5,000, Credit Cash ₦5,000
B. Debit Rent Expense ₦20,000, Credit Cash ₦20,000
C. Debit Rent Expense ₦15,000, Credit Cash ₦15,000
D. Debit Rent Expense ₦5,000, Credit Cash ₦20,000
Question 7
A partnership has two partners, A and B. The partnership's capital account balance is ₦100,000. Partner A's capital account balance is ₦50,000, and Partner B's capital account balance is ₦50,000. If Partner A withdraws ₦20,000 from the partnership, what is the new balance of Partner B's capital account?
A. ₦30,000
B. ₦40,000
C. ₦50,000
D. ₦60,000
Question 8
A company's trial balance shows a credit balance of ₦12,000 in the 'Dividends' account. However, the company's accounting records show that it has declared a dividend of ₦18,000. What is the correct journal entry to record the dividend?
A. Debit Dividends ₦18,000, Credit Retained Earnings ₦18,000
B. Debit Dividends ₦12,000, Credit Retained Earnings ₦12,000
C. Debit Dividends ₦18,000, Credit Cash ₦18,000
D. Debit Dividends ₦12,000, Credit Cash ₦12,000
Question 9
A company issued 10,000 ordinary shares of ₦10 each at a premium of ₦5 per share. Calculate the total amount received from the issue of shares.
A. ₦100,000
B. ₦150,000
C. ₦200,000
D. ₦250,000
Question 10
A company issues 10,000 shares of ₦10 each at a premium of ₦5 per share. Calculate the total amount received from the issue of shares.
A. ₦100,000
B. ₦150,000
C. ₦200,000
D. ₦250,000
Question 11
A company uses the cash basis of accounting. The following transactions were recorded during the year: 1. Purchased office equipment for ₦120,000. 2. Sold goods for ₦80,000. 3. Purchased raw materials for ₦150,000. 4. Paid salaries of ₦30,000. 5. Collected cash from customers for ₦100,000. What is the total amount of cash received by the company during the year?
A. ₦230,000
B. ₦240,000
C. ₦250,000
D. ₦260,000
Question 12
A company issued 5,000 debentures of ₦100 each at a discount of 5%. Calculate the total amount received from the issue of debentures.
A. ₦450,000
B. ₦475,000
C. ₦500,000
D. ₦525,000
Question 13
A company's depreciation account as at 31st December, 2019 is as follows: Depreciation ₦10,000 Accumulated Depreciation ₦20,000 Total ₦30,000 What is the company's accumulated depreciation as at 31st December, 2019?
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000
Question 14
A company's balance sheet as at 31st December, 2019 is as follows: Assets: Cash ₦50,000 Accounts Receivable ₦20,000 Inventory ₦30,000 Total Assets ₦100,000 Liabilities: Accounts Payable ₦10,000 Long-term Debt ₦30,000 Total Liabilities ₦40,000 What is the company's equity as at 31st December, 2019?
A. ₦60,000
B. ₦70,000
C. ₦80,000
D. ₦90,000
Question 15
A company's trial balance shows a debit balance of ₦5,000 in the account 'Rent Received'. However, the company's accounting records show that it has not received any rent from its tenants. What is the correct treatment of this discrepancy?
A. Debit the 'Rent Received' account by ₦5,000
B. Credit the 'Rent Received' account by ₦5,000
C. Debit the 'Rent Received' account by ₦5,000 and credit the 'Rent Paid' account by ₦5,000
D. Credit the 'Rent Received' account by ₦5,000 and debit the 'Rent Paid' account by ₦5,000

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