POST UTME COAL CITY UNIVERSITY 2019 Accounting | Objective

Are you preparing for POST UTME COAL CITY UNIVERSITY exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2019 Accounting (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
A company issued 10,000, 10% debentures of ₦100 each at a premium of 10%. Calculate the total amount received from debenture holders.
A. ₦1,000,000
Correct B. ₦1,050,000
C. ₦1,100,000
D. ₦1,150,000

Correct Answer: B

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Question 2
A firm's trial balance showed an error of ₦5,000 in the debit side of the accounts payable account. The correct balance is ₦25,000. What is the effect of this error on the net profit?
Correct A. ₦5,000 increase
B. ₦5,000 decrease
C. ₦10,000 increase
D. ₦10,000 decrease

Correct Answer: A

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Question 3
A partnership has two partners, A and B, who share profits and losses in the ratio 3:2. If the total profit for the year is ₦120,000, how much will partner A receive?
A. ₦60,000
Correct B. ₦72,000
C. ₦90,000
D. ₦108,000

Correct Answer: B

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Question 4
A company's cash book shows a balance of ₦50,000. The bank statement shows a balance of ₦60,000. The difference is due to an outstanding cheque of ₦5,000. What is the correct balance of the cash book?
Correct A. ₦55,000
B. ₦60,000
C. ₦65,000
D. ₦70,000

Correct Answer: A

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Question 5
A government agency has a budget of ₦1,000,000 for a project. The actual expenditure is ₦900,000. What is the variance?
Correct A. ₦50,000
B. ₦100,000
C. ₦150,000
D. ₦200,000

Correct Answer: A

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Question 6
A company uses the weighted average method to value its inventory. The company has three types of inventory: raw materials, work-in-progress, and finished goods. The cost of raw materials is ₦1,500,000, work-in-progress is ₦2,000,000, and finished goods is ₦3,500,000. The total value of the inventory is ₦7,000,000. If the cost of raw materials is 30% of the total value, what is the value of work-in-progress?
A. ₦1,500,000
Correct B. ₦2,000,000
C. ₦3,500,000
D. ₦4,500,000

Correct Answer: B

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Question 7
A company's trial balance shows the following accounts: Sales ₦1,500,000, Cost of Goods Sold ₦1,000,000, and Net Income ₦500,000. If the company's assets increased by ₦200,000 during the year, what is the value of the company's liabilities?
A. ₦1,000,000
B. ₦1,200,000
Correct C. ₦1,500,000
D. ₦2,000,000

Correct Answer: C

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Question 8
A company uses the FIFO method to value its inventory. The company has two types of inventory: raw materials and finished goods. The cost of raw materials is ₦1,000,000, and finished goods is ₦2,000,000. If the total value of the inventory is ₦3,000,000, what is the value of finished goods?
A. ₦1,000,000
B. ₦1,500,000
Correct C. ₦2,000,000
D. ₦2,500,000

Correct Answer: C

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Question 9
A company's balance sheet shows the following accounts: Cash ₦500,000, Accounts Payable ₦200,000, and Common Stock ₦1,000,000. If the company's assets increased by ₦300,000 during the year, what is the value of the company's liabilities?
A. ₦1,000,000
B. ₦1,200,000
Correct C. ₦1,500,000
D. ₦2,000,000

Correct Answer: C

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Question 10
A company uses the LIFO method to value its inventory. The company has two types of inventory: raw materials and finished goods. The cost of raw materials is ₦1,000,000, and finished goods is ₦2,000,000. If the total value of the inventory is ₦3,000,000, what is the value of finished goods?
A. ₦1,000,000
B. ₦1,500,000
Correct C. ₦2,000,000
D. ₦2,500,000

Correct Answer: C

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Question 11
A company uses the double-entry system of accounting. The trial balance shows the following balances: Accounts Payable 12,000, Accounts Receivable 8,000, Common Stock 50,000, and Retained Earnings 25,000. What is the total amount of assets?
A. ₦65,000
Correct B. ₦75,000
C. ₦85,000
D. ₦95,000

Correct Answer: B

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Question 12
A company uses the double-entry system of accounting. The trial balance shows the following balances: Accounts Payable 12,000, Accounts Receivable 8,000, Common Stock 50,000, and Retained Earnings 25,000. What is the total amount of liabilities?
A. ₦20,000
B. ₦30,000
Correct C. ₦40,000
D. ₦50,000

Correct Answer: C

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Question 13
A company uses the double-entry system of accounting. The trial balance shows the following balances: Accounts Payable 12,000, Accounts Receivable 8,000, Common Stock 50,000, and Retained Earnings 25,000. What is the total amount of equity?
A. ₦75,000
B. ₦85,000
Correct C. ₦95,000
D. ₦105,000

Correct Answer: C

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Question 14
A company uses the double-entry system of accounting. The trial balance shows the following balances: Accounts Payable 12,000, Accounts Receivable 8,000, Common Stock 50,000, and Retained Earnings 25,000. What is the total amount of assets minus liabilities?
A. ₦35,000
B. ₦45,000
Correct C. ₦55,000
D. ₦65,000

Correct Answer: C

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Question 15
A company uses the double-entry system of accounting. The trial balance shows the following balances: Accounts Payable 12,000, Accounts Receivable 8,000, Common Stock 50,000, and Retained Earnings 25,000. What is the total amount of equity minus liabilities?
A. ₦40,000
B. ₦50,000
Correct C. ₦60,000
D. ₦70,000

Correct Answer: C

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Question 16
A company uses the double-entry system of accounting. The trial balance shows the following balances: Accounts Payable 10,000, Accounts Receivable 8,000, Common Stock 50,000, Dividends 5,000, Retained Earnings 20,000, Sales Revenue 80,000, and Wages Expense 30,000. What is the net income of the company?
A. 25,000
Correct B. 30,000
C. 35,000
D. 40,000

Correct Answer: B

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Question 17
A company has the following transactions: Purchased office supplies for 1,000, Purchased equipment for 10,000, Sold merchandise for 20,000, and Paid salaries of 5,000. What is the total amount of assets?
A. 16,000
B. 21,000
Correct C. 26,000
D. 31,000

Correct Answer: C

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Question 18
A company uses the single-entry system of accounting. The journal entries show the following: Debit Cash 5,000, Credit Accounts Payable 5,000, Debit Accounts Receivable 8,000, Credit Sales Revenue 8,000, Debit Wages Expense 30,000, Credit Retained Earnings 30,000. What is the net income of the company?
A. 25,000
B. 30,000
Correct C. 35,000
D. 40,000

Correct Answer: C

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Question 19
A company has the following transactions: Purchased office supplies for 1,000, Purchased equipment for 10,000, Sold merchandise for 20,000, and Paid salaries of 5,000. What is the total amount of assets?
A. 16,000
B. 21,000
Correct C. 26,000
D. 31,000

Correct Answer: C

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Question 20
A company uses the double-entry system of accounting. The trial balance shows the following balances: Accounts Payable 10,000, Accounts Receivable 8,000, Common Stock 50,000, Dividends 5,000, Retained Earnings 20,000, Sales Revenue 80,000, and Wages Expense 30,000. What is the net income of the company?
A. 25,000
Correct B. 30,000
C. 35,000
D. 40,000

Correct Answer: B

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Question 21
A company has the following transactions: Purchased office supplies for 1,000, Purchased equipment for 10,000, Sold merchandise for 20,000, and Paid salaries of 5,000. What is the total amount of assets?
A. 16,000
B. 21,000
Correct C. 26,000
D. 31,000

Correct Answer: C

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Question 22
A company uses the single-entry system of accounting. The journal entries show the following: Debit Cash 5,000, Credit Accounts Payable 5,000, Debit Accounts Receivable 8,000, Credit Sales Revenue 8,000, Debit Wages Expense 30,000, Credit Retained Earnings 30,000. What is the net income of the company?
A. 25,000
B. 30,000
Correct C. 35,000
D. 40,000

Correct Answer: C

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Question 23
A company has the following transactions: Purchased office supplies for 1,000, Purchased equipment for 10,000, Sold merchandise for 20,000, and Paid salaries of 5,000. What is the total amount of assets?
A. 16,000
B. 21,000
Correct C. 26,000
D. 31,000

Correct Answer: C

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Question 24
A company produces two products, X and Y, using two machines, A and B. The production process for X requires 2 hours on machine A and 3 hours on machine B, while the production process for Y requires 3 hours on machine A and 2 hours on machine B. The company operates for 24 hours a day and has a total of 120 hours of machine A time and 120 hours of machine B time available per week. If the company produces 1000 units of X and 800 units of Y per week, what is the total cost of production for the week?
A. ₦120,000
Correct B. ₦150,000
C. ₦180,000
D. ₦200,000

Correct Answer: B

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Question 25
A company's trial balance as of December 31, 2022, is as follows: Debit: ₦100,000; Credit: ₦120,000. What is the correct journal entry to record the correction of the error?
Correct A. ₦20,000 debit to Cash and ₦20,000 credit to Profit or Loss on Correction of Errors
B. ₦20,000 credit to Cash and ₦20,000 debit to Profit or Loss on Correction of Errors
C. ₦20,000 debit to Profit or Loss on Correction of Errors and ₦20,000 credit to Cash
D. ₦20,000 credit to Profit or Loss on Correction of Errors and ₦20,000 debit to Cash

Correct Answer: A

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