POST UTME ACHIEVERS UNIVERSITY 2018 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company uses the double-entry system of accounting. The company's ledger shows the following balances: - Cash: ₦20,000 - Accounts Payable: ₦15,000 - Sales Revenue: ₦30,000 What is the total amount of assets owned by the company?
A. ₦35,000
B. ₦40,000
C. ₦45,000
D. ₦50,000
Question 2
A company's balance sheet as of December 31, 2022, is as follows: Assets ₦2,000,000, Liabilities ₦1,000,000, Equity ₦1,000,000. Prepare the balance sheet.
A. ₦2,000,000
B. ₦1,500,000
C. ₦1,000,000
D. ₦1,200,000
Question 3
A company uses the double-entry system of accounting. The following transactions occurred during the year: Purchased office supplies for ₦10,000, Sold merchandise for ₦50,000, and Paid salaries of ₦20,000. Prepare the journal entries for these transactions.
A. Debit Office Supplies ₦10,000, Credit Cash ₦10,000
B. Debit Cash ₦50,000, Credit Sales Revenue ₦50,000
C. Debit Salaries Expense ₦20,000, Credit Cash ₦20,000
D. Debit Office Supplies ₦10,000, Credit Salaries Expense ₦10,000
Question 4
A company's trial balance shows the following balances: Accounts Payable ₦500,000, Sales Revenue ₦1,500,000, Cost of Goods Sold ₦800,000, and Net Income ₦200,000. What is the company's total assets?
A. ₦2,500,000
B. ₦3,000,000
C. ₦3,500,000
D. ₦4,000,000
Question 5
A company uses the straight-line method of depreciation. If the asset's useful life is 5 years and its residual value is ₦0, what is the annual depreciation charge if the asset's cost is ₦1,500,000?
A. ₦300,000
B. ₦250,000
C. ₦200,000
D. ₦150,000
Question 6
A company uses the straight-line method to depreciate its assets. The asset cost ₦1,500,000 and has a useful life of 5 years. Calculate the annual depreciation charge.
A. ₦300,000
B. ₦200,000
C. ₦250,000
D. ₦150,000
Question 7
A company has the following assets: - Land: ₦50,000 - Building: ₦100,000 - Machinery: ₦30,000 What is the total value of the company's assets?
A. ₦180,000
B. ₦180,000
C. ₦180,000
D. ₦180,000
Question 8
A company uses the cash book to record its transactions. The cash book shows a balance of ₦10,000 in the cash account. However, the bank statement shows a balance of ₦12,000. What is the reason for the difference?
A. The company has a loan from the bank
B. The company has a deposit in the bank
C. The company has a credit card account
D. The company has a difference in the exchange rate
Question 9
A company purchases a machine for ₦100,000. The machine is expected to last for 5 years and has a residual value of ₦20,000. What is the annual depreciation of the machine?
A. ₦16,000
B. ₦18,000
C. ₦20,000
D. ₦22,000
Question 10
A company's bank reconciliation statement shows a difference of ₦1,500 between the company's cash book balance and the bank statement balance. The company's cash book balance is ₦20,000. What is the bank statement balance?
A. ₦21,500
B. ₦21,500
C. ₦21,500
D. ₦21,500
Question 11
A partnership has two partners, A and B. The capital contributions of A and B are ₦80,000 and ₦60,000 respectively. The profit-sharing ratio is 3:2. What is the amount of profit that A will receive?
A. ₦24,000
B. ₦30,000
C. ₦36,000
D. ₦42,000
Question 12
A company's trial balance shows a debit balance of ₦20,000 in the 'Salaries and Wages' account. However, the company's accounting records show that it has paid ₦25,000 for salaries and wages. Prepare the necessary journal entry to correct the discrepancy.
A. ₦25,000 debit to Salaries and Wages, ₦5,000 credit to Cash
B. ₦20,000 credit to Salaries and Wages, ₦25,000 debit to Cash
C. ₦25,000 credit to Salaries and Wages, ₦5,000 debit to Cash
D. ₦20,000 debit to Salaries and Wages, ₦25,000 credit to Cash
Question 13
A company uses the self-balancing ledger system. The company's assets increased by ₦100,000 and its liabilities increased by ₦50,000. What is the amount of the owner's capital?
A. ₦50,000
B. ₦60,000
C. ₦70,000
D. ₦80,000
Question 14
A company's balance sheet shows a current liability of ₦50,000. However, the company's accounting records show that it has paid ₦60,000 to settle the liability. Prepare the necessary journal entry to correct the discrepancy.
A. ₦60,000 debit to Current Liability, ₦10,000 credit to Cash
B. ₦50,000 credit to Current Liability, ₦60,000 debit to Cash
C. ₦60,000 credit to Current Liability, ₦10,000 debit to Cash
D. ₦50,000 debit to Current Liability, ₦60,000 credit to Cash
Question 15
A company's trial balance shows the following balances: Accounts Payable ₦200,000, Sales Revenue ₦500,000, Cost of Goods Sold ₦300,000, and Common Stock ₦1,000,000. Prepare a classified balance sheet.
A. ₦1,800,000
B. ₦2,000,000
C. ₦1,500,000
D. ₦1,200,000

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