POST UTME ESUT 2019 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company's cash book showed a balance of ₦50,000. The bank statement showed a balance of ₦75,000. The difference was due to a bank overdraft of ₦25,000. Calculate the correct balance in the cash book.
A. ₦75,000
B. ₦75,000
C. ₦75,000
D. ₦75,000
Question 2
The accounting equation is a fundamental concept in accounting that represents the relationship between a company's assets, liabilities, and equity. Which of the following is a correct representation of the accounting equation?
A. Assets = Liabilities + Equity
B. Assets - Liabilities = Equity
C. Liabilities - Assets = Equity
D. Equity - Liabilities = Assets
Question 3
A company's trial balance showed a balance of ₦100,000. The company's accountant discovered that the balance was incorrect due to an error in the journal entry. The correct balance was ₦120,000. Calculate the error.
A. ₦20,000
B. ₦20,000
C. ₦20,000
D. ₦20,000
Question 4
A company's bank statement shows a balance of ₦80,000. The company's cash book shows a balance of ₦90,000. What is the correct explanation for the discrepancy?
A. The company has a bank overdraft.
B. The company has a cash credit balance.
C. The company has a cash debit balance.
D. The company has a bank overdraft and a cash credit balance.
Question 5
A company issued 5,000, 10% debentures of ₦100 each. Calculate the amount of interest payable annually.
A. ₦50,000
B. ₦25,000
C. ₦10,000
D. ₦5,000
Question 6
A company's profit and loss account for the year ended 31st December 2018 showed a net profit of ₦1,200,000. The company's balance sheet as at 31st December 2018 showed a capital of ₦1,500,000 and a reserve of ₦800,000. What is the amount of the company's profit after tax?
A. ₦1,000,000
B. ₦1,200,000
C. ₦1,400,000
D. ₦1,600,000
Question 7
A company's income statement showed the following: Sales ₦500,000, Cost of Goods Sold ₦300,000, and Operating Expenses ₦100,000. Calculate the company's net income.
A. ₦100,000
B. ₦150,000
C. ₦200,000
D. ₦250,000
Question 8
A company's cash book shows a debit balance of ₦120,000. The company's cash account in the ledger shows a credit balance of ₦150,000. What is the correct explanation for the discrepancy?
A. The company has a bank overdraft.
B. The company has a cash credit balance.
C. The company has a cash debit balance.
D. The company has a bank overdraft and a cash credit balance.
Question 9
A company's trial balance showed a balance of ₦100,000. The company's accountant discovered that the balance was incorrect due to an error in the journal entry. The correct balance was ₦120,000. Calculate the error.
A. ₦20,000
B. ₦20,000
C. ₦20,000
D. ₦20,000
Question 10
A company issued 5,000, 10% debentures of ₦100 each. Calculate the amount of interest payable annually.
A. ₦50,000
B. ₦25,000
C. ₦10,000
D. ₦5,000
Question 11
A company uses the accrual basis of accounting and has the following transactions: Purchased office supplies for ₦10,000, Paid rent for ₦20,000, and Collected cash from customers for ₦30,000. What is the total amount of cash transactions?
A. ₦40,000
B. ₦50,000
C. ₦60,000
D. ₦70,000
Question 12
A company issued 10,000, 5% shares of ₦10 each at a premium of ₦2. The company also issued 5,000, 10% debentures of ₦100 each at a discount of 5%. Calculate the amount received from share and debenture holders.
A. ₦1,200,000
B. ₦1,200,000
C. ₦1,200,000
D. ₦1,200,000
Question 13
A company has the following transactions: Purchased office supplies for ₦10,000, Paid rent for ₦20,000, and Collected cash from customers for ₦30,000. What is the total amount of cash transactions?
A. ₦40,000
B. ₦50,000
C. ₦60,000
D. ₦70,000
Question 14
A company's equity is as follows: | Equity | Amount | | --- | --- | | Share Capital | ₦1,000,000 | | Retained Earnings | ₦500,000 | | Dividends | ₦200,000 | Calculate the total amount of the company's equity.
A. ₦1,700,000
B. ₦1,800,000
C. ₦1,900,000
D. ₦2,000,000
Question 15
A company's assets are valued as follows: | Asset | Value | | --- | --- | | Buildings | ₦1,000,000 | | Machinery | ₦500,000 | | Vehicles | ₦200,000 | | Furniture | ₦150,000 | Calculate the total value of the company's assets.
A. ₦1,850,000
B. ₦2,000,000
C. ₦2,150,000
D. ₦2,200,000

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