POST UTME COAL CITY UNIVERSITY 2024 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company's balance sheet shows a total assets of ₦500,000 and a total liabilities of ₦300,000. What is the likely reason for the discrepancy?
A. The company has not yet recorded the depreciation of assets.
B. The company has not yet recorded the provision for bad debts.
C. The company has not yet recorded the interest on loans.
D. The company has not yet recorded the sale of assets.
Question 2
A company's trial balance showed the following balances: Accounts Payable ₦0,000, Sales Revenue ₦1,500, Cost of Goods Sold ₦0,000, and Common Stock ₦1,000. Prepare a balance sheet for the company.
A. { "Assets": { "Accounts Payable": 100000, "Cash": 15000, "Common Stock": 100000 }, "Liabilities": { "Accounts Payable": 100000 } }
B. { "Assets": { "Accounts Payable": 100000, "Cash": 15000, "Common Stock": 100000 }, "Liabilities": { "Accounts Payable": 100000 }, "Equity": { "Common Stock": 100000 } }
C. { "Assets": { "Accounts Payable": 100000, "Cash": 15000, "Common Stock": 100000 }, "Liabilities": { "Accounts Payable": 100000 }, "Equity": { "Common Stock": 100000, "Retained Earnings": 15000 } }
D. { "Assets": { "Accounts Payable": 100000, "Cash": 15000, "Common Stock": 100000 }, "Liabilities": { "Accounts Payable": 100000 }, "Equity": { "Common Stock": 100000, "Retained Earnings": 15000 }, "Revenue": { "Sales Revenue": 15000 } }
Question 3
A partnership has two partners, A and B. The capital accounts of A and B are ₦50,000 and ₦30,000 respectively. The profit-sharing ratio is 3:2. Calculate the profit to be shared by A.
A. ₦18,000
B. ₦20,000
C. ₦22,000
D. ₦24,000
Question 4
A company has the following transactions: Purchased raw materials for ₦100,000, purchased work-in-progress for ₦150,000, and sold finished goods for ₦200,000. The company uses the perpetual inventory system. What is the total value of the inventory?
A. ₦150,000
B. ₦200,000
C. ₦250,000
D. ₦300,000
Question 5
A company's trial balance shows a debit balance of ₦15,000 in the 'Office Equipment' account. However, the company's accountant has forgotten to record a purchase of office equipment worth ₦10,000. What is the correct adjustment to be made to the trial balance?
A. ₦10,000 debit to 'Office Equipment' and ₦10,000 credit to 'Cash'
B. ₦10,000 credit to 'Office Equipment' and ₦10,000 debit to 'Cash'
C. ₦10,000 debit to 'Office Equipment' and ₦10,000 credit to 'Office Expenses'
D. ₦10,000 credit to 'Office Equipment' and ₦10,000 debit to 'Office Expenses'
Question 6
A company's trading account shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Sales | 10,000 | | | 2 Jan | Purchases | | 8,000 | | 3 Jan | Sales | | 2,000 | | 4 Jan | Purchases | | 1,000 | What is the gross profit?
A. ₦2,000
B. ₦3,000
C. ₦4,000
D. ₦5,000
Question 7
A company has the following transactions: Purchased raw materials for ₦100,000, purchased work-in-progress for ₦150,000, and sold finished goods for ₦200,000. The company uses the first-in-first-out (FIFO) method to value its inventory. What is the total value of the inventory?
A. ₦150,000
B. ₦200,000
C. ₦250,000
D. ₦300,000
Question 8
A company's trading account shows a profit of ₦300,000. However, the profit and loss account shows a loss of ₦200,000. What is the likely reason for the discrepancy?
A. The company has not yet recorded the depreciation of assets.
B. The company has not yet recorded the provision for bad debts.
C. The company has not yet recorded the interest on loans.
D. The company has not yet recorded the sale of assets.
Question 9
A company's trading account shows a profit of ₦200,000. However, the profit and loss account shows a loss of ₦150,000. What is the likely reason for the discrepancy?
A. The company has not yet recorded the depreciation of assets.
B. The company has not yet recorded the provision for bad debts.
C. The company has not yet recorded the interest on loans.
D. The company has not yet recorded the sale of assets.
Question 10
A company's financial statements show an increase in assets of ₦200,000 and an increase in liabilities of ₦150,000. What is the net increase in equity?
A. ₦25,000
B. ₦50,000
C. ₦75,000
D. ₦100,000
Question 11
A company's manufacturing department has a production cost of ₦150,000 and a selling price of ₦250,000. If the company sells 500 units, what is the gross profit?
A. ₦250,000
B. ₦375,000
C. ₦500,000
D. ₦750,000
Question 12
A company uses the straight-line method of depreciation for a machine that cost ₦500,000. If the machine has a useful life of 5 years, what is the annual depreciation?
A. ₦50,000
B. ₦75,000
C. ₦100,000
D. ₦125,000
Question 13
A company uses the single-entry system of accounting. The company's cash book shows a balance of ₦50,000. However, the company's accountant has forgotten to record a cash receipt of ₦20,000. What is the correct adjustment to be made to the cash book?
A. ₦20,000 debit to 'Cash' and ₦20,000 credit to 'Sales'
B. ₦20,000 credit to 'Cash' and ₦20,000 debit to 'Sales'
C. ₦20,000 debit to 'Cash' and ₦20,000 credit to 'Office Expenses'
D. ₦20,000 credit to 'Cash' and ₦20,000 debit to 'Office Expenses'
Question 14
A public sector organization has a budget of ₦10 million for a project. If the organization spends 80% of the budget on personnel and 10% on equipment, what percentage of the budget is left for other expenses?
A. 10%
B. 20%
C. 30%
D. 40%
Question 15
A company's cash book shows a balance of ₦200,000. However, the bank statement shows a balance of ₦250,000. What is the likely reason for the discrepancy?
A. The company has not yet deposited the cash into the bank.
B. The bank has not yet credited the company's account for the deposited cash.
C. The company has not yet paid the bank charges.
D. The company has not yet received the bank statement.

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