POST UTME RSU 2019 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
In a partnership account, the capital of each partner is shown on the debit side of the capital account. Which of the following is true about the capital account?
A. The capital account is a nominal account.
B. The capital account is a real account.
C. The capital account is a temporary account.
D. The capital account is a permanent account.
Question 2
A company uses the double-entry system of accounting. The company's ledger shows the following transactions: Debit Cash ₦10,000, Credit Accounts Payable ₦10,000. Prepare the company's journal entry.
A. Debit Accounts Payable ₦10,000, Credit Cash ₦10,000
B. Debit Cash ₦10,000, Credit Accounts Payable ₦10,000
C. Debit Accounts Payable ₦10,000, Credit Cash ₦10,000
D. Debit Cash ₦10,000, Credit Accounts Receivable ₦10,000
Question 3
A company's trial balance showed the following balances: Accounts Payable ₦50,000, Sales Revenue ₦200,000, Cost of Goods Sold ₦150,000, and Common Stock ₦100,000. Prepare the company's income statement.
A. ₦50,000
B. ₦100,000
C. ₦150,000
D. ₦200,000
Question 4
A company has the following balance sheet at the end of the year: Assets 100,000, Liabilities 50,000, and Equity 50,000. What is the company's current ratio?
A. 2:1
B. 1:1
C. 1:2
D. 3:1
Question 5
A company uses the straight-line method of depreciation. The company's asset has a cost of ₦100,000, a residual value of ₦20,000, and an estimated useful life of 5 years. Calculate the annual depreciation expense.
A. ₦15,000
B. ₦18,000
C. ₦20,000
D. ₦22,000
Question 6
A company's cash book shows a balance of ₦150,000. However, the bank statement shows a balance of ₦180,000. What is the reason for the difference?
A. Bank charges
B. Interest earned
C. Cheques deposited but not yet credited
D. Cheques issued but not yet debited
Question 7
A company uses the double-entry system of accounting. If a customer pays ₦10,000 cash for goods sold, what is the effect on the accounting equation?
A. Assets increase by ₦10,000 and liabilities decrease by ₦10,000.
B. Assets decrease by ₦10,000 and liabilities increase by ₦10,000.
C. Assets increase by ₦10,000 and equity increases by ₦10,000.
D. Assets decrease by ₦10,000 and equity decreases by ₦10,000.
Question 8
A company has the following transactions for the month of January: Purchased office supplies for 1,000 on credit, Sold goods for 5,000 cash, and Purchased equipment for 10,000 cash. What is the total amount of assets at the end of January?
A. 16,000
B. 15,000
C. 14,000
D. 13,000
Question 9
A company has a cash book balance of ₦50,000 and a bank statement balance of ₦60,000. The bank statement shows a credit balance of ₦10,000 for a dishonored cheque. What is the correct balance in the cash book?
A. ₦40,000
B. ₦50,000
C. ₦60,000
D. ₦70,000
Question 10
A company's trading account shows a profit of ₦200,000. However, the profit and loss account shows a loss of ₦50,000. What is the reason for the difference?
A. Depreciation
B. Bad debts
C. Interest on loans
D. Dividends paid
Question 11
A company has a debit balance of ₦20,000 in its trading account. If the company's profit is ₦30,000, what is the correct balance in the trading account?
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 12
A company has a debit balance of ₦20,000 in its trading account. If the company's profit is ₦30,000, what is the correct balance in the trading account?
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 13
A company's balance sheet showed the following balances: Cash ₦50,000, Accounts Receivable ₦100,000, Inventory ₦150,000, and Equipment ₦200,000. Prepare the company's statement of cash flows.
A. ₦50,000
B. ₦100,000
C. ₦150,000
D. ₦200,000
Question 14
A company has the following transactions for the month of January: Purchased office supplies for 1,000 on credit, Sold goods for 5,000 cash, and Purchased equipment for 10,000 cash. What is the total amount of expenses at the end of January?
A. 6,000
B. 5,000
C. 4,000
D. 3,000
Question 15
A company's cash book shows a balance of ₦50,000. The bank statement shows a balance of ₦60,000. What is the reason for the difference?
A. The bank has credited an interest.
B. The bank has debited an NSF cheque.
C. The bank has charged a fee.
D. The bank has credited a deposit.

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Help others prepare! Share this practice hub: