POST UTME UI 2018 Accounting | Objective

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Question 1
A company issues 10,000 shares of ₦10 each at a premium of ₦5 per share. What is the total amount received from the issue of shares?
A. ₦150,000
B. ₦200,000
C. ₦250,000
D. ₦300,000
Question 2
A company's trial balance shows a debit balance of ₦30,000 in the account 'Accrued Expenses'. The company's accountant has prepared the following journal entry to correct the error: Debit: Accrued Expenses ₦30,000 Credit: Accrued Income ₦30,000 What is the correct journal entry to correct the error?
A. Debit: Accrued Expenses ₦30,000 Credit: Accrued Income ₦30,000
B. Debit: Accrued Income ₦30,000 Credit: Accrued Expenses ₦30,000
C. Debit: Accrued Expenses ₦30,000 Credit: Accrued Income ₦30,000
D. Debit: Accrued Income ₦30,000 Credit: Accrued Expenses ₦30,000
Question 3
A company uses the double-entry system of accounting. The following transactions were recorded during the year: 1. Purchased office equipment for ₦120,000. 2. Sold goods for ₦150,000. 3. Purchased raw materials for ₦80,000. 4. Paid salaries of ₦60,000. 5. Collected cash from customers for ₦100,000. What is the total amount of cash received from customers and customers' accounts?
A. ₦100,000
B. ₦150,000
C. ₦200,000
D. ₦250,000
Question 4
A company's trial balance shows a debit balance of ₦20,000 in the account 'Accrued Expenses'. The company's accountant has prepared the following journal entry to correct the error: Debit: Accrued Expenses ₦20,000 Credit: Accrued Income ₦20,000 What is the correct journal entry to correct the error?
A. Debit: Accrued Expenses ₦20,000 Credit: Accrued Income ₦20,000
B. Debit: Accrued Income ₦20,000 Credit: Accrued Expenses ₦20,000
C. Debit: Accrued Expenses ₦20,000 Credit: Accrued Income ₦20,000
D. Debit: Accrued Income ₦20,000 Credit: Accrued Expenses ₦20,000
Question 5
Determine the amount of depreciation for a machine that cost ₦120,000 and has a useful life of 5 years, using the straight-line method. If the machine is sold for ₦30,000 after 3 years, what is the amount of loss on disposal?
A. ₦24,000
B. ₦30,000
C. ₦36,000
D. ₦40,000
Question 6
A company has the following transactions recorded in its cash book: 1. Purchased office equipment for ₦120,000. 2. Sold goods for ₦150,000. 3. Purchased raw materials for ₦80,000. 4. Paid salaries of ₦60,000. 5. Collected cash from customers for ₦100,000. What is the total amount of cash paid to suppliers and employees?
A. ₦160,000
B. ₦180,000
C. ₦200,000
D. ₦220,000
Question 7
A company's trial balance shows an error of \pm \frac{1}{2} in the account 'Sales Returns'. If the correct balance is \\,500, what is the correct balance in the 'Sales' account?
A. \\,499.50
B. \\,500.50
C. \\,501.00
D. \\,502.50
Question 8
A company's trial balance shows the following balances: Accounts Payable ₦10,000, Accounts Receivable ₦20,000, Cash ₦30,000. What is the total amount of the company's assets?
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 9
A company has the following balance sheet: Assets: ₦100,000, Liabilities: ₦50,000, Equity: ₦50,000. What is the correct ratio of debt to equity?
A. 1:1
B. 1:2
C. 2:1
D. 3:1
Question 10
A partnership has two partners, A and B, who share profits in the ratio 5:3. If the total profit for the year is ₦300,000, and A withdraws ₦20,000 from the business, how much will B receive?
A. ₦150,000
B. ₦180,000
C. ₦200,000
D. ₦220,000
Question 11
A company has the following transactions during the year: Partnership A invested ₦10,000 cash and Partnership B invested ₥20,000 cash. The company also purchased equipment for ₦30,000. Prepare the journal entries for the above transactions.
A. Debit equipment ₦30,000, credit cash ₦10,000
B. Debit equipment ₦30,000, credit cash ₦20,000
C. Debit equipment ₦30,000, credit cash ₦10,000
D. Debit equipment ₦30,000, credit cash ₦20,000
Question 12
A company's trial balance shows an error of \pm \frac{1}{4} in the account 'Purchases'. If the correct balance is \\,80,000, what is the correct balance in the 'Cost of Goods Sold' account?
A. \\,79,750
B. \\,80,000
C. \\,80,250
D. \\,80,500
Question 13
A company's trial balance shows an error of ₦0.50 in the debit side of the accounts payable account. The error was caused by an incorrect posting of ₦0.50 from the purchases ledger to the accounts payable ledger. What is the correct journal entry to rectify this error?
A. Debit purchases ledger ₦0.50, credit accounts payable ledger ₦0.50
B. Debit accounts payable ledger ₦0.50, credit purchases ledger ₦0.50
C. Debit purchases ledger ₦0.50, credit purchases returns ledger ₦0.50
D. Debit accounts payable ledger ₦0.50, credit purchases returns ledger ₦0.50
Question 14
A company's trading account shows a profit of ₦120,000. The balance on the profit and loss account is ₦80,000. The balance on the capital account is ₦200,000. What is the balance on the drawings account?
A. ₦40,000
B. ₦60,000
C. ₦80,000
D. ₦100,000
Question 15
A company uses the self-balancing ledger system. The following transactions are recorded in the ledger: Debit: Office Supplies ₦15,000 Credit: Cash ₦15,000 What is the effect of this transaction on the company's cash balance?
A. The cash balance decreases by ₦15,000
B. The cash balance increases by ₦15,000
C. The cash balance remains the same
D. The cash balance increases by ₦30,000

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