POST UTME CRAWFORD UNIVERSITY 2020 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company has the following trial balance: Assets ₦500,000, Liabilities ₦200,000, and Equity ₦300,000. What is the total amount of assets?
A. ₦400,000
B. ₦500,000
C. ₦600,000
D. ₦700,000
Question 2
A company's cash book shows a balance of ₦200,000. The bank statement shows a balance of ₦250,000. What is the correct reason for the difference?
A. Bank charges
B. Interest earned
C. Cheques deposited but not yet credited
D. Cheques issued but not yet debited
Question 3
A company's trial balance shows an error of ¦1,000 in the debit side of the account 'Rent and Rates'. The error is due to the omission of a receipt of ¦1,000. Prepare the necessary journal entry to correct the error.
A. Debit Rent and Rates ¦1,000, Credit Bank ¦1,000
B. Debit Bank ¦1,000, Credit Rent and Rates ¦1,000
C. Debit Rent and Rates ¦1,000, Credit Cash ¦1,000
D. Debit Cash ¦1,000, Credit Rent and Rates ¦1,000
Question 4
A company's trial balance shows an error of ₦1,500 in the debit side of the accounts payable account. The correct amount is ₦1,200. What is the effect of this error on the balance sheet?
A. The company's assets will decrease by ₦1,500.
B. The company's liabilities will increase by ₦1,500.
C. The company's equity will decrease by ₦1,500.
D. The company's assets will increase by ₦1,500.
Question 5
A company has the following transactions: Purchased goods for ₦300,000 on credit, sold goods for ₦320,000 on credit, and purchased office supplies for ₦30,000 in cash. What is the total amount of cash received from customers?
A. ₦320,000
B. ₦330,000
C. ₦340,000
D. ₦350,000
Question 6
A company has the following transactions: Purchased goods for ₦200,000 on credit, sold goods for ₦220,000 on credit, and purchased office supplies for ₦20,000 in cash. What is the total amount of cash received from customers?
A. ₦220,000
B. ₦230,000
C. ₦240,000
D. ₦250,000
Question 7
A partnership has two partners, A and B. Partner A has a 60% interest in the partnership, while partner B has a 40% interest. If the partnership's net income is ₦120,000, how much will partner A receive as their share of the net income?
A. ₦72,000
B. ₦48,000
C. ₦60,000
D. ₦80,000
Question 8
A company's income statement shows the following information: Cost of Goods Sold ₦500,000, Gross Profit ₦200,000, and Operating Expenses ₦100,000. What is the company's net income?
A. ₦100,000
B. ₦200,000
C. ₦300,000
D. ₦400,000
Question 9
A public sector organization has the following transactions: Purchase of office supplies ₦50,000, Payment of salaries ₦200,000, Receipt of cash from customers ₦150,000. What is the correct accounting equation after these transactions?
A. Assets = ₦300,000, Liabilities = ₦0, Equity = ₦300,000
B. Assets = ₦250,000, Liabilities = ₦0, Equity = ₦250,000
C. Assets = ₦350,000, Liabilities = ₦0, Equity = ₦350,000
D. Assets = ₦400,000, Liabilities = ₦0, Equity = ₦400,000
Question 10
A company's balance sheet as at 31st December 2020 is as follows: Assets: Cash ¦10,000 Debtors ¦20,000 Stock ¦30,000 Total Assets ¦60,000 Liabilities: Creditors ¦15,000 Capital ¦45,000 Total Liabilities ¦60,000 What is the company's net worth?
A. ¦30,000
B. ¦45,000
C. ¦60,000
D. ¦75,000
Question 11
A company's trial balance shows an error of ₦15,000 due to an omission of a transaction. The error is discovered during the preparation of the balance sheet. What is the correct step to take?
A. Omit the error and prepare the balance sheet as usual.
B. Correct the error by adjusting the trial balance and re-preparing the balance sheet.
C. Prepare a revised trial balance and re-preparing the balance sheet.
D. Ignore the error and proceed with the balance sheet.
Question 12
A company has the following trial balance: Assets ₦700,000, Liabilities ₦300,000, and Equity ₦400,000. What is the total amount of equity?
A. ₦350,000
B. ₦400,000
C. ₦450,000
D. ₦500,000
Question 13
A company manufactures and sells products. The following data is available for the year ended December 31, 2020:
A. ₦150,000
B. ₦180,000
C. ₦200,000
D. ₦220,000
Question 14
A company uses the straight-line method of depreciation. The asset's cost is ₦500,000, and its useful life is 5 years. What is the annual depreciation charge?
A. ₦100,000
B. ₦80,000
C. ₦60,000
D. ₦50,000
Question 15
A partnership is formed by two individuals, A and B, who contribute ₦100,000 and ₦150,000 respectively. The following transactions occurred during the year ended December 31, 2020:
A. ₦250,000
B. ₦270,000
C. ₦290,000
D. ₦310,000

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