POST UTME RSU 2020 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company issued 5,000 shares of 10 par value at a premium of 5 per share. Prepare the journal entry for the issue of these shares.
A. Debit Cash 25,000, Credit Common Stock 50,000
B. Debit Common Stock 50,000, Credit Paid-in Capital in Excess of Par Value 25,000
C. Debit Common Stock 50,000, Credit Cash 25,000
D. Debit Paid-in Capital in Excess of Par Value 25,000, Credit Common Stock 50,000
Question 2
A company has a manufacturing department that produces two products, X and Y. The selling price of X is ₦100 per unit and the selling price of Y is ₦120 per unit. The total cost of production is ₦50,000. If the company sells 200 units of X and 150 units of Y, calculate the gross profit.
A. ₦20,000
B. ₦22,000
C. ₦24,000
D. ₦26,000
Question 3
A company's balance sheet shows the following: Assets: ₦150,000, Liabilities: ₦75,000, Equity: ₦75,000. What is the company's debt-to-equity ratio?
A. 1:1
B. 2:1
C. 1:2
D. 3:1
Question 4
A partnership firm has two partners, A and B, who share profits and losses in the ratio 3:2. If the firm's profit for the year is ₦10,000, calculate the amount of profit to be distributed to each partner.
A. A: ₦0,000, B: ₤0,000
B. A: ₦0,000, B: ₥0,000
C. A: ₦0,000, B: ₤5,000
D. A: ₦5,000, B: ₤0,000
Question 5
A company's cash book shows the following transactions: Debit: ₦10,000, Credit: ₦12,000. What is the correct journal entry for this transaction?
A. Debit: ₦10,000, Credit: ₦12,000
B. Debit: ₦12,000, Credit: ₦10,000
C. Debit: ₦20,000, Credit: ₦20,000
D. Debit: ₦0, Credit: ₦0
Question 6
A company has the following transactions: Sale of goods for ₦100,000, Purchase of goods for ₦80,000, and Salaries ₦20,000. Prepare the income statement.
A. Sales ₦100,000, Cost of Goods Sold ₦80,000, Salaries ₦20,000
B. Sales ₦100,000, Cost of Goods Sold ₦80,000, Salaries ₦20,000
C. Sales ₦100,000, Cost of Goods Sold ₦80,000, Salaries ₦20,000
D. Sales ₦100,000, Cost of Goods Sold ₦80,000, Salaries ₦20,000
Question 7
A company has a trading account balance of ₦50,000 and a profit and loss account balance of ₦20,000. Calculate the net profit.
A. ₦30,000
B. ₦40,000
C. ₦50,000
D. ₦60,000
Question 8
A company uses a job costing system. The following data are extracted from the company's records for the year ended December 31, 2020:
A. ₦100,000
B. ₦120,000
C. ₦150,000
D. ₦180,000
Question 9
A company has the following transactions during the year: Debit: Raw Materials ₦5,000, Work-in-Progress ₦0,000, Finished Goods ₦5,000, Sales ₦10,000 Credit: Purchases ₦5,000, Wages ₦0,000, Rent ₦5,000, Cost of Goods Sold ₦10,000 What is the net profit of the company?
A. ₦0,000
B. ₦5,000
C. ₦10,000
D. ₦15,000
Question 10
A company's cash book shows the following transactions: Debit: ₦5,000, Credit: ₦8,000. What is the correct journal entry for this transaction?
A. Debit: ₦5,000, Credit: ₦8,000
B. Debit: ₦8,000, Credit: ₦5,000
C. Debit: ₦10,000, Credit: ₦10,000
D. Debit: ₦0, Credit: ₦0
Question 11
A company has the following bank statement balance: ₦10,000 (Opening Balance) + ₦0,000 (Receipts) - ₦5,000 (Payments) = ₦05,000 (Closing Balance) However, the company's cash book shows a balance of ₦10,000. What is the reason for the discrepancy?
A. Bank interest
B. Bank charges
C. Forged cheque
D. Incorrect cash book posting
Question 12
A company uses the FIFO method to value its inventory. If the inventory consists of 100 units of item A and 50 units of item B, and the cost of item A is ₦10,000 and item B is ₦20,000, what is the cost of goods sold?
A. ₦1,000,000
B. ₦1,200,000
C. ₦1,500,000
D. ₦1,800,000
Question 13
A company has the following transactions: Sale of goods for ₦100,000, Purchase of goods for ₦80,000, and Salaries ₦20,000. Prepare the income statement.
A. Sales ₦100,000, Cost of Goods Sold ₦80,000, Salaries ₦20,000
B. Sales ₦100,000, Cost of Goods Sold ₦80,000, Salaries ₦20,000
C. Sales ₦100,000, Cost of Goods Sold ₦80,000, Salaries ₦20,000
D. Sales ₦100,000, Cost of Goods Sold ₦80,000, Salaries ₦20,000
Question 14
The following are the details of the transactions of a company for the year ended December 31, 2020:
A. ₦100,000
B. ₦120,000
C. ₦150,000
D. ₦180,000
Question 15
The following are the details of the transactions of a company for the year ended December 31, 2020:
A. ₦100,000
B. ₦120,000
C. ₦150,000
D. ₦180,000

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