POST UTME AAUA 2020 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Cash | ₦1,000 | | | 2nd Jan | Bank | | ₦800 | | 3rd Jan | Cash | | ₦1,200 | What is the balance of the company's cash account?
A. ₦200
B. ₦300
C. ₦400
D. ₦500
Question 2
A company's bank statement shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Cash | ₦1,000 | | | 2nd Jan | Bank | | ₦800 | | 3rd Jan | Cash | | ₦1,200 | What is the balance of the company's bank account?
A. ₦1,200
B. ₦1,300
C. ₦1,400
D. ₦1,500
Question 3
A company uses the control account system to record its financial transactions. The company's ledger shows the following balances: Control Account: ₦100,000; Subsidiary Ledger: ₦150,000. What is the company's net worth?
A. ₦50,000
B. ₦100,000
C. ₦150,000
D. ₦200,000
Question 4
A company has the following liabilities: Accounts Payable: ₦20,000 Loans Payable: ₦100,000 Salaries Payable: ₦30,000 What is the total amount of liabilities?
A. ₦150,000
B. ₦150,000
C. ₦150,000
D. ₦150,000
Question 5
A company uses the FIFO method to value its inventory. The following data is available: 100 units of Item A at ₦20 each, 200 units of Item B at ₦30 each, and 300 units of Item C at ₦40 each. If 500 units are sold, what is the total cost of goods sold?
A. ₦20,000
B. ₦22,000
C. ₦24,000
D. ₦26,000
Question 6
A company has the following transactions in its cash book: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Cash | 1,000 | | | 2 Jan | Cash | | 500 | | 3 Jan | Cash | | 1,500 | Prepare the bank reconciliation statement.
A. Bank Balance ₦ 1,500, Cash Balance ₦ 1,000
B. Bank Balance ₦ 1,000, Cash Balance ₦ 1,500
C. Bank Balance ₦ 500, Cash Balance ₦ 1,500
D. Bank Balance ₦ 1,500, Cash Balance ₦ 500
Question 7
A company issued 5,000 debentures of ₦ 100 each at a discount of 5%. Calculate the amount received from the issue of debentures.
A. ₦ 475,000
B. ₦ 480,000
C. ₦ 485,000
D. ₦ 490,000
Question 8
A manufacturing company produces two products, A and B. Product A requires 2 hours of labor and 3 units of raw material, while product B requires 3 hours of labor and 2 units of raw material. If the company has 120 hours of labor and 180 units of raw material available, how many units of product A and product B should the company produce to maximize profit?
A. 10 units of product A and 15 units of product B
B. 15 units of product A and 10 units of product B
C. 20 units of product A and 20 units of product B
D. 25 units of product A and 25 units of product B
Question 9
A partnership has two partners, A and B. The capital accounts of A and B are ₦ 10,000 and ₦ 15,000 respectively. The profit-sharing ratio is 3:2. Calculate the profit to be distributed to A and B.
A. ₦ 3,000
B. ₦ 4,000
C. ₦ 5,000
D. ₦ 6,000
Question 10
A company uses the straight-line method to depreciate its assets. If the asset cost ₦120,000, has a residual value of ₦20,000, and is expected to last for 5 years, what is the annual depreciation charge?
A. ₦20,000
B. ₦22,000
C. ₦24,000
D. ₦26,000
Question 11
A company has the following transactions in its cash book: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Cash | 1,000 | | | 2 Jan | Cash | | 500 | | 3 Jan | Cash | | 1,500 | Prepare the bank reconciliation statement.
A. Bank Balance ₦ 1,500, Cash Balance ₦ 1,000
B. Bank Balance ₦ 1,000, Cash Balance ₦ 1,500
C. Bank Balance ₦ 500, Cash Balance ₦ 1,500
D. Bank Balance ₦ 1,500, Cash Balance ₦ 500
Question 12
A company uses the single-entry system to record its financial transactions. The company's journal shows the following entries: Debit: ₦50,000; Credit: ₦30,000. What is the company's net worth?
A. ₦20,000
B. ₦30,000
C. ₦50,000
D. ₦70,000
Question 13
A company's balance sheet as at 31st December 2020 shows the following: | Asset | ₦ | Liability | ₦ | | --- | --- | --- | --- | | Cash | 1,000 | Bank Loan | 800 | | Bank | 1,200 | Share Capital | 1,200 | What is the company's net worth?
A. ₦1,200
B. ₦1,300
C. ₦1,400
D. ₦1,500
Question 14
A company issued 10,000 shares of ₦ 1 each at a premium of ₦ 2 per share. The issue expenses were ₦ 20,000. Calculate the amount of share capital.
A. ₦ 120,000
B. ₦ 140,000
C. ₦ 160,000
D. ₦ 180,000
Question 15
A company uses the single-entry system of accounting. The following transactions occurred during the year: Depreciation on a machine: ₦12,000 Interest on a loan: ₦8,000 Salaries: ₦150,000 Rent: ₦30,000 What is the total amount of expenses for the year?
A. ₦200,000
B. ₦190,000
C. ₦180,000
D. ₦200,000

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