POST UTME OAU 2024 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
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 2
A company's financial statements for the year ended December 31, 2023, show the following: Total assets = ₦500,000, Total liabilities = ₦200,000, and Total equity = ₦300,000. What is the company's return on equity (ROE) for the year?
A. 20%
B. 30%
C. 40%
D. 50%
Question 3
A partnership has two partners, A and B. The partnership agreement states that A receives 60% of the profits and B receives 40%. If the partnership makes a profit of ₦120,000, how much will A receive?
A. ₦72,000
B. ₦48,000
C. ₦60,000
D. ₦80,000
Question 4
A company's trial balance shows the following: Debit: ₦200,000 Credit: ₦250,000 What is the company's net income?
A. ₦50,000
B. ₦100,000
C. ₦150,000
D. ₦200,000
Question 5
A public sector entity has the following transactions: ¦ 10,000 cash received from customers, ¦ 5,000 cash paid to suppliers, and ¦ 3,000 cash paid to employees. What is the correct journal entry to record these transactions?
A. Debit Cash ¦ 10,000, Credit Accounts Receivable ¦ 10,000
B. Debit Cash ¦ 10,000, Credit Accounts Payable ¦ 5,000
C. Debit Cash ¦ 10,000, Credit Cash ¦ 5,000
D. Debit Cash ¦ 10,000, Credit Cash ¦ 3,000
Question 6
A company issues 5% debentures of ₦100 each at a premium of ₦10 per share. The proceeds from the issue are used to pay off a loan of ₦150,000. Calculate the amount of debenture capital and the amount of debenture premium.
A. ₦5,000, ₦10,000
B. ₦10,000, ₦20,000
C. ₦15,000, ₦30,000
D. ₦20,000, ₦40,000
Question 7
A company issues 1,000 shares of ₦10 each at a premium of ₦5 per share. The proceeds from the issue are used to pay off a loan of ₦150,000. Calculate the amount of share capital and the amount of share premium.
A. ₦10,000, ₦5,000
B. ₦15,000, ₦10,000
C. ₦20,000, ₦15,000
D. ₦25,000, ₦20,000
Question 8
A company's cash book shows the following transactions: Cheque No. 101 for ₦20,000, Cheque No. 102 for ₦30,000, and Cheque No. 103 for ₦40,000. What is the total amount of cheques issued?
A. ₦50,000
B. ₦60,000
C. ₦70,000
D. ₦80,000
Question 9
A company's cash book shows a balance of ₦120,000. The bank statement shows a balance of ₦150,000. The difference between the two balances is ₦30,000. What is the reason for this difference?
A. Bank charges
B. Interest on overdraft
C. Cheques deposited but not yet credited
D. Cheques issued but not yet debited
Question 10
A company uses the double-entry system of accounting. The company's trial balance shows the following balances: Cash ¦ 5,000, Accounts Payable ¦ 8,000, Common Stock ¦ 20,000, and Retained Earnings ¦ 15,000. If the company's net income for the year is ¦ 12,000, what is the correct journal entry to record the net income?
A. Debit Cash ¦ 12,000, Credit Retained Earnings ¦ 12,000
B. Debit Retained Earnings ¦ 12,000, Credit Common Stock ¦ 12,000
C. Debit Accounts Payable ¦ 12,000, Credit Retained Earnings ¦ 12,000
D. Debit Cash ¦ 12,000, Credit Retained Earnings ¦ 12,000
Question 11
A company's cash book shows a balance of ₦150,000, but the bank statement shows a balance of ₦120,000. The bank reconciliation statement shows a difference of ₦30,000 due to outstanding checks. What is the correct balance in the cash book?
A. ₦180,000
B. ₦150,000
C. ₦120,000
D. ₦90,000
Question 12
In a partnership account, the capital of one partner is increased by ₦50,000, while the capital of another partner is decreased by ₦30,000. The total capital of the partnership remains unchanged. What is the new total capital of the partnership?
A. ₦200,000
B. ₦220,000
C. ₦240,000
D. ₦260,000
Question 13
A company has the following ledger accounts:
A. ₦50,000
B. ₦60,000
C. ₦70,000
D. ₦80,000
Question 14
A company uses the double-entry system of accounting. The company's trial balance shows the following balances: Cash ¦ 5,000, Accounts Payable ¦ 8,000, Common Stock ¦ 20,000, and Retained Earnings ¦ 15,000. If the company's net income for the year is ¦ 12,000, what is the correct journal entry to record the net income?
A. Debit Cash ¦ 12,000, Credit Retained Earnings ¦ 12,000
B. Debit Retained Earnings ¦ 12,000, Credit Common Stock ¦ 12,000
C. Debit Accounts Payable ¦ 12,000, Credit Retained Earnings ¦ 12,000
D. Debit Cash ¦ 12,000, Credit Retained Earnings ¦ 12,000
Question 15
A company has the following ledger balances: Cash ₦100,000, Accounts Payable ₦50,000. The company purchases office supplies for ₦20,000 cash. What is the effect of this transaction on the accounting equation?
A. Increases Assets, Decreases Liabilities
B. Decreases Assets, Increases Liabilities
C. Increases Liabilities, Decreases Assets
D. No effect on the accounting equation

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