POST UTME BOWEN UNIVERSITY 2021 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company's trial balance shows a debit balance of ₦15,000 in the account 'Rent Received' and a credit balance of ₦20,000 in the account 'Rent Paid'. What is the correct journal entry to record the correction of this error?
A. ₦5,000 debit to Rent Received and ₦5,000 credit to Rent Paid
B. ₦5,000 debit to Rent Paid and ₦5,000 credit to Rent Received
C. ₦10,000 debit to Rent Received and ₦10,000 credit to Rent Paid
D. ₦10,000 debit to Rent Paid and ₦10,000 credit to Rent Received
Question 2
A company has the following transactions: Purchased goods for ₦100,000 on credit; sold goods for ₦120,000 on credit; and received cash of ₦50,000. What is the total amount of cash received?
A. ₦150,000
B. ₦160,000
C. ₦170,000
D. ₦180,000
Question 3
A company uses the straight-line method of depreciation. If the asset's useful life is 5 years and the residual value is ₦50,000, what is the annual depreciation charge for an asset costing ₦250,000?
A. ₦40,000
B. ₦45,000
C. ₦50,000
D. ₦55,000
Question 4
A company issued 10,000 shares of ₦10 each at a premium of ₦5 per share. If the company received ₦120,000 from the issue of shares, what is the amount received from the issue of shares?
A. ₦100,000
B. ₦120,000
C. ₦150,000
D. ₦180,000
Question 5
A company's trial balance shows the following accounts: | Account | Debit | Credit | | --- | --- | --- | | Sales | ₦100,000 | | | Cost of Goods Sold | | ₦80,000 | | Operating Expenses | | ₦20,000 | | Net Income | | | What is the net income of the company?
A. ₦0
B. ₦10,000
C. ₦20,000
D. ₦30,000
Question 6
A partnership is formed between two individuals, A and B, with a capital of ₦500,000 each. During the year, A withdraws ₦100,000 for personal use, while B invests an additional ₦50,000. The profit for the year is ₦200,000. Prepare the partnership's statement of profit or loss for the year.
A. ₦250,000
B. ₦300,000
C. ₦200,000
D. ₦150,000
Question 7
A company's bank reconciliation statement shows the following discrepancies: | Date | Discrepancy | Amount | | --- | --- | --- | | 1 Jan | Bank statement balance | ₦10,000 | | 2 Jan | Cash book balance | ₦15,000 | | 3 Jan | Outstanding checks | ₦5,000 | | 4 Jan | Deposits in transit | ₦20,000 | What is the corrected bank balance?
A. ₦40,000
B. ₦45,000
C. ₦50,000
D. ₦55,000
Question 8
A company's trial balance shows a debit balance of ₦10,000 in the account 'Salaries Expense' and a credit balance of ₦15,000 in the account 'Salaries Payable'. What is the correct journal entry to record the correction of this error?
A. ₦5,000 debit to Salaries Expense and ₦5,000 credit to Salaries Payable
B. ₦5,000 debit to Salaries Payable and ₦5,000 credit to Salaries Expense
C. ₦10,000 debit to Salaries Expense and ₦10,000 credit to Salaries Payable
D. ₦10,000 debit to Salaries Payable and ₦10,000 credit to Salaries Expense
Question 9
A company's balance sheet shows a current asset of ₦50,000 in the account 'Accounts Receivable' and a current liability of ₦30,000 in the account 'Accounts Payable'. What is the net working capital?
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000
Question 10
A company's trial balance at the end of the year shows the following balances: ₦100,000 in the cash account, ₦50,000 in the accounts payable account, and ₦20,000 in the loan payable account. Prepare the company's balance sheet at the end of the year, assuming that the company uses the single entry system.
A. ₦100,000 in cash, ₦50,000 in accounts payable, ₦20,000 in loan payable
B. ₦100,000 in cash, ₦50,000 in accounts payable, ₦20,000 in bank loan
C. ₦100,000 in cash, ₦50,000 in accounts payable, ₦20,000 in loan due
D. ₦100,000 in cash, ₦50,000 in accounts payable, ₦20,000 in bank overdraft
Question 11
A company issues 5,000 shares of ₦1 each at a premium of ₦0.25 per share. If the company receives a cash payment of ₦12,500, what is the amount of the share premium account?
A. ₦1,250
B. ₦2,500
C. ₦3,750
D. ₦5,000
Question 12
A company's manufacturing department produces 10,000 units of a product, with a total cost of ₦500,000. The selling price per unit is ₦50. Calculate the department's contribution to the company's profit.
A. ₦400,000
B. ₦450,000
C. ₦500,000
D. ₦550,000
Question 13
A partnership consisting of three partners, A, B, and C, has a capital of ₦1,500,000. The capital is divided in the ratio 2:3:4. If the profit is shared in the same ratio, what is the share of partner B?
A. ₦300,000
B. ₦450,000
C. ₦600,000
D. ₦900,000
Question 14
A company has the following transactions: Purchased goods for ₦100,000 on credit; sold goods for ₦120,000 on credit; and received cash of ₦50,000. What is the total amount of cash received?
A. ₦150,000
B. ₦160,000
C. ₦170,000
D. ₦180,000
Question 15
A partnership is formed between two individuals, A and B, with a capital of ₦100,000 each. After one year, the profit is shared in the ratio 2:3. If A's drawings are ₦20,000 and B's drawings are ₦15,000, what is the amount of A's share of the profit?
A. ₦30,000
B. ₦25,000
C. ₦20,000
D. ₦15,000

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