POST UTME UNILAG 2021 Accounting | Objective

Are you preparing for POST UTME UNILAG exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2021 Accounting (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
In a partnership account, what is the correct method of valuing the goodwill of a partnership?
A. Average Profit Method
B. Super Profit Method
Correct C. Capitalization Method
D. Net Profit Method

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 2
A company issued 10,000 shares of ₠ 5 each at a premium of ₠ 2 per share. Calculate the total amount received from the issue of shares.
A. ₠ 50,000
Correct B. ₠ 60,000
C. ₠ 70,000
D. ₠ 80,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 3
A company's cash book shows a balance of ₠ 15,000. However, the bank statement shows a balance of ₠ 20,000. What is the reason for the discrepancy?
Correct A. Cheques issued but not yet presented
B. Cheques deposited but not yet credited
C. Bank charges not yet debited
D. Error in cash book

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 4
A company issued 5,000 shares of ₠ 10 each at a premium of ₠ 3 per share. Calculate the total amount received from the issue of shares.
A. ₠ 25,000
B. ₠ 30,000
Correct C. ₠ 35,000
D. ₠ 40,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 5
A company's balance sheet shows a total assets of ₠ 100,000 and total liabilities of ₠ 50,000. What is the company's net worth?
A. ₠ 50,000
Correct B. ₠ 75,000
C. ₠ 100,000
D. ₠ 125,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 6
A partnership is formed between two individuals, A and B, with a capital contribution of ₦500,000 and ₦300,000 respectively. The partnership agreement states that profits will be shared in the ratio 3:2. If the partnership earns a profit of ₦1,200,000, calculate the amount of profit that will be shared by A.
Correct A. ₦600,000
B. ₦450,000
C. ₦300,000
D. ₦200,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 7
A company uses the cash book to record its transactions. The cash book shows a balance of ₦100,000 on December 31st. However, the bank statement shows a balance of ₦120,000 on the same date. What is the reason for the discrepancy?
A. The company has a loan outstanding with the bank.
Correct B. The company has deposited cash into the bank but has not yet been credited.
C. The company has withdrawn cash from the bank but has not yet been debited.
D. The company has a credit balance in the bank account.

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 8
A government agency is required to prepare a budget for the upcoming fiscal year. The budget must be balanced, meaning that total revenues must equal total expenditures. If the agency has a total revenue of ₦500,000,000 and a total expenditure of ₦600,000,000, what is the amount of the deficit?
A. ₦100,000,000
B. ₦200,000,000
Correct C. ₦300,000,000
D. ₦400,000,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 9
A company has a trial balance that shows a debit balance of ₦50,000 in the account 'Office Supplies'. However, the company's accountant has discovered that the account 'Office Supplies' has been incorrectly debited. What is the correct treatment for this error?
A. The error will be corrected by crediting the account 'Office Supplies' with ₦50,000.
Correct B. The error will be corrected by debiting the account 'Office Supplies' with ₦50,000.
C. The error will be corrected by transferring the balance of ₦50,000 to the account 'Office Expenses'.
D. The error will be corrected by transferring the balance of ₦50,000 to the account 'Cash'.

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 10
A company uses the double-entry system to record its transactions. The company's journal shows the following entry: 'Debit Cash ₦100,000, Credit Office Supplies ₦100,000'. What is the effect of this entry on the company's financial statements?
Correct A. The entry will increase the company's cash balance and decrease its office supplies balance.
B. The entry will decrease the company's cash balance and increase its office supplies balance.
C. The entry will have no effect on the company's financial statements.
D. The entry will increase the company's office supplies balance and decrease its cash balance.

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 11
A company issues 10,000 shares of ₦ 1 each at a premium of ₦ 2 per share. Calculate the total amount received from the issue of shares.
A. ₦ 20,000
Correct B. ₦ 30,000
C. ₦ 40,000
D. ₦ 50,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 12
A company's trading account shows a profit of ₦ 50,000. The company's capital at the beginning of the year was ₦ 100,000. Calculate the company's capital at the end of the year.
A. ₦ 150,000
B. ₦ 200,000
Correct C. ₦ 250,000
D. ₦ 300,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 13
A company's balance sheet shows a current liability of ₦ 20,000. The company's current assets are ₦ 30,000. Calculate the company's net current position.
A. ₦ 10,000
B. ₦ 20,000
Correct C. ₦ 30,000
D. ₦ 40,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 14
A company's single entry system shows a total of ₦ 50,000 as the total of all transactions for the year. The company's capital at the beginning of the year was ₦ 100,000. Calculate the company's capital at the end of the year.
A. ₦ 150,000
B. ₦ 200,000
Correct C. ₦ 250,000
D. ₦ 300,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 15
A company issues 10,000 shares of ₦ 1 each at a premium of ₦ 2 per share. Calculate the total amount received from the issue of shares.
A. ₦ 20,000
Correct B. ₦ 30,000
C. ₦ 40,000
D. ₦ 50,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 16
Determine the value of the asset 'Building' at the end of the year, given that it was purchased for ₦5,000,000, has a useful life of 10 years, and a residual value of ₦500,000. The company uses the straight-line method of depreciation.
A. ₦4,500,000
Correct B. ₦4,000,000
C. ₦3,500,000
D. ₦3,000,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 17
A company has the following transactions related to its share capital: Issued 10,000 ordinary shares of ₦10 each at a premium of ₦5 per share. Subscribed 5,000 preference shares of ₦20 each at a discount of ₦2 per share. Calculate the total amount received from the issue of shares.
A. ₦150,000
B. ₦200,000
Correct C. ₦250,000
D. ₦300,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 18
A company has the following trial balance: Debitors ₦100,000, Creditors ₦50,000, Capital ₦200,000, Profit & Loss A/c ₦30,000. Prepare the ledger accounts for Debitors and Creditors.
Correct A. Debitors: ₦100,000, Creditors: ₦50,000
B. Debitors: ₦50,000, Creditors: ₦100,000
C. Debitors: ₦150,000, Creditors: ₦50,000
D. Debitors: ₦50,000, Creditors: ₦150,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 19
A company has the following incomplete records: Purchases: ₦150,000, Sales: ₦200,000, Returns Outwards: ₦10,000, Returns Inwards: ₦5,000. Calculate the net profit for the period.
A. ₦45,000
Correct B. ₦50,000
C. ₦55,000
D. ₦60,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 20
A company has the following single entry records: Purchases: ₦150,000, Sales: ₦200,000, Returns Outwards: ₦10,000, Returns Inwards: ₦5,000. Prepare the journal entries for the period.
Correct A. Purchases A/c Dr. ₦150,000, Sales A/c Dr. ₦200,000
B. Purchases A/c Dr. ₦160,000, Sales A/c Dr. ₦190,000
C. Purchases A/c Dr. ₦170,000, Sales A/c Dr. ₦180,000
D. Purchases A/c Dr. ₦180,000, Sales A/c Dr. ₦190,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 21
A partnership is formed between two individuals, A and B, with a capital contribution of ₦500,000 and ₦300,000 respectively. If the partnership earns a profit of ₦200,000, and A's share of the profit is ₦80,000, what is B's share of the profit?
A. ₦120,000
Correct B. ₦80,000
C. ₦100,000
D. ₦120,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 22
A company issues 10,000 shares of ₦10 each at a premium of ₦5 per share. If the company receives a total of ₦250,000, what is the amount received from the issue of shares?
A. ₦200,000
Correct B. ₦250,000
C. ₦300,000
D. ₦350,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 23
A company issues 5,000 debentures of ₦100 each at a discount of 5%. If the company receives a total of ₦450,000, what is the amount received from the issue of debentures?
A. ₦425,000
Correct B. ₦450,000
C. ₦475,000
D. ₦500,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 24
A company's trading account shows a profit of ₦150,000. If the company's profit and loss account shows a net profit of ₦200,000, and the company's balance sheet shows a net worth of ₦500,000, what is the company's retained earnings?
A. ₦50,000
B. ₦100,000
C. ₦150,000
Correct D. ₦200,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 25
A company's balance sheet shows a current asset of ₦200,000 and a current liability of ₦150,000. If the company's net worth is ₦500,000, what is the company's retained earnings?
A. ₦50,000
B. ₦100,000
C. ₦150,000
Correct D. ₦200,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

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:
Chat with Support