POST UTME BELLS UNIVERSITY 2025 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company issued 5,000 shares of ₦1 each at a premium of ₦0.50 per share. The company also issued 2,000 ₡0 debentures at 5% interest. Prepare the journal entry to record the issue of shares and debentures.
A. Debit Share Capital ₣0,000, Credit Cash ₣0,000
B. Debit Share Capital ₥0,000, Credit Cash ₥0,000
C. Debit Share Capital ₣0,000, Credit Cash ₣0,000 and Debit Debentures ₢0,000, Credit Cash ₢0,000
D. Debit Share Capital ₥0,000, Credit Cash ₥0,000 and Debit Debentures ₡0,000, Credit Cash ₡0,000
Question 2
A company's assets are valued at ₦ 800,000. The company's liabilities are ₦ 300,000. What is the company's net worth?
A. ₦ 500,000
B. ₦ 600,000
C. ₦ 700,000
D. ₦ 800,000
Question 3
A company issues 10,000 shares of ₦ 1 each at a premium of ₦ 2 per share. The company's share capital is ₦ 100,000. What is the amount received from the issue of shares?
A. ₦ 100,000
B. ₦ 120,000
C. ₦ 140,000
D. ₦ 160,000
Question 4
A company's trial balance shows a debit balance of ₦30,000 in the 'Salaries and Wages' account. What is the correct journal entry to record this transaction?
A. Debit Salaries and Wages ₦30,000, Credit Cash ₦30,000
B. Debit Cash ₦30,000, Credit Salaries and Wages ₦30,000
C. Debit Salaries and Wages ₦30,000, Credit Rent Paid ₦30,000
D. Debit Rent Paid ₦30,000, Credit Salaries and Wages ₦30,000
Question 5
A company has the following balance sheet as at 31st December 2024.
A. Debit Asset ₡0,000, Credit Liability ₡0,000
B. Debit Liability ₡0,000, Credit Asset ₡0,000
C. Debit Asset ₡0,000, Credit Liability ₡0,000 and Debit Equity ₡0,000, Credit Liability ₡0,000
D. Debit Liability ₡0,000, Credit Asset ₡0,000 and Debit Equity ₡0,000, Credit Liability ₡0,000
Question 6
A company's bank statement shows a balance of ₦25,000, but the company's cash book shows a balance of ₦30,000. What is the reason for the discrepancy?
A. Bank charges
B. Interest earned
C. Cheque deposited but not yet credited
D. Cheque issued but not yet debited
Question 7
A company's trial balance shows a debit balance of ₦50,000 in the 'Rent Received' account. What is the correct journal entry to record this transaction?
A. Debit Rent Received ₦50,000, Credit Cash ₦50,000
B. Debit Cash ₦50,000, Credit Rent Received ₦50,000
C. Debit Rent Received ₦50,000, Credit Rent Paid ₦50,000
D. Debit Rent Paid ₦50,000, Credit Rent Received ₦50,000
Question 8
A company uses the single-entry system. It has the following transactions: Purchased goods for ₦50,000, Sold goods for ₦60,000, and Received cash from customers for ₦40,000. What is the total revenue of the company?
A. ₦60,000
B. ₦70,000
C. ₦80,000
D. ₦90,000
Question 9
A company issues 5,000 debentures of ₦ 100 each at a premium of ₦ 10 per debenture. The company's debenture capital is ₦ 500,000. What is the amount received from the issue of debentures?
A. ₦ 500,000
B. ₦ 550,000
C. ₦ 600,000
D. ₦ 650,000
Question 10
A company's assets are valued at ₦ 500,000. The company's liabilities are ₦ 200,000. What is the company's net worth?
A. ₦ 300,000
B. ₦ 400,000
C. ₦ 500,000
D. ₦ 600,000
Question 11
A company issues 1,000 shares of ₦10 each at a premium of ₦5 per share. What is the total amount received from the issue of shares?
A. ₦10,000
B. ₦15,000
C. ₦20,000
D. ₦25,000
Question 12
A company's bank statement shows the following transactions: ₦ 5,000 deposit, ₦ 2,000 withdrawal, ₦ 1,000 interest earned, ₦ 500 bank charge. What is the company's bank balance?
A. ₦ 4,500
B. ₦ 5,000
C. ₦ 5,500
D. ₦ 6,000
Question 13
A company purchases a machine for ₦1,000,000. The machine has a useful life of 5 years and a residual value of ₦100,000. Calculate the annual depreciation using the reducing balance method.
A. ₦160,000
B. ₦180,000
C. ₦200,000
D. ₦220,000
Question 14
A company's trial balance shows a debit balance of ₦40,000 in the 'Rent Received' account. What is the correct journal entry to record this transaction?
A. Debit Rent Received ₦40,000, Credit Cash ₦40,000
B. Debit Cash ₦40,000, Credit Rent Received ₦40,000
C. Debit Rent Received ₦40,000, Credit Rent Paid ₦40,000
D. Debit Rent Paid ₦40,000, Credit Rent Received ₦40,000
Question 15
A company uses the perpetual inventory system. It purchases 100 units of goods at ₦500 each and sells 80 units at ₦600 each. The company also incurs a cost of ₦20,000 for transportation. What is the cost of goods sold?
A. ₦40,000
B. ₦50,000
C. ₦60,000
D. ₦70,000

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