POST UTME FUTO 2021 Accounting | Objective

Are you preparing for POST UTME FUTO exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2021 Accounting (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
A partnership is formed between two individuals, A and B, with a capital of ₦150,000 and ₦200,000 respectively. If the profit-sharing ratio is 3:2, what is the ratio of their capitals?
A. 1:1
Correct B. 3:2
C. 2:3
D. 3:1

Correct Answer: B

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Question 2
A company issues 5,000, 10% debentures of ₦100 each at a discount of 5%. Calculate the amount received by the company.
A. ₦450,000
Correct B. ₦475,000
C. ₦500,000
D. ₦525,000

Correct Answer: B

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Question 3
A manufacturing company uses a job costing system. The following data are available for the month of January: Direct Materials: ₦120,000, Direct Labour: ₦60,000, Overheads: ₦80,000. What is the total cost of production?
A. ₦260,000
B. ₦280,000
Correct C. ₦300,000
D. ₦320,000

Correct Answer: C

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Question 4
A company's trial balance shows the following balances: Sales: ₦500,000, Cost of Goods Sold: ₦300,000, Profit: ₦200,000. What is the total assets of the company?
A. ₦700,000
B. ₦800,000
C. ₦900,000
Correct D. ₦1,000,000

Correct Answer: D

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Question 5
A company issues 10,000 shares of ₦10 each at a premium of ₦5 per share. Calculate the total amount received by the company.
A. ₦150,000
B. ₦200,000
C. ₦250,000
Correct D. ₦300,000

Correct Answer: D

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Question 6
A company issued 10,000 shares of ₦5 each at a premium of ₦2. The shares were sold for ₦7 each. Calculate the total amount received from the sale of shares.
A. ₦70,000
B. ₦80,000
Correct C. ₦90,000
D. ₦100,000

Correct Answer: C

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Question 7
A company's trial balance showed the following balances: Accounts Payable ₦50,000, Sales Revenue ₦200,000, Cost of Goods Sold ₦150,000, and Common Stock ₦100,000. Prepare a balance sheet for the company.
A. ₦250,000
B. ₦300,000
Correct C. ₦350,000
D. ₦400,000

Correct Answer: C

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Question 8
A company's cash book showed the following transactions: Cash received from customers ₦100,000, Cash paid to suppliers ₦50,000, Cash received from bank ₦20,000, and Cash paid to bank ₦10,000. Prepare a bank reconciliation statement.
A. ₦30,000
B. ₦40,000
Correct C. ₦50,000
D. ₦60,000

Correct Answer: C

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Question 9
A company issued 5,000 debentures of ₦1,000 each at a discount of 5%. Calculate the total amount received from the issue of debentures.
A. ₦4,750,000
Correct B. ₦4,875,000
C. ₦4,900,000
D. ₦4,925,000

Correct Answer: B

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Question 10
A company's trial balance showed the following balances: Accounts Payable ₦30,000, Sales Revenue ₦150,000, Cost of Goods Sold ₦100,000, and Common Stock ₦80,000. Prepare a trading and profit and loss account for the company.
A. ₦50,000
B. ₦60,000
Correct C. ₦70,000
D. ₦80,000

Correct Answer: C

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Question 11
In a partnership account, the capital of a partner is increased by the amount of drawings made by the partner. Which of the following is the correct journal entry to record this transaction?
A. Debit Partner's Capital, Credit Partner's Drawings
Correct B. Debit Partner's Drawings, Credit Partner's Capital
C. Debit Partner's Capital, Credit Cash
D. Credit Partner's Capital, Debit Partner's Drawings

Correct Answer: B

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Question 12
A company uses the double-entry system of accounting. The company purchases office supplies for ₦10,000. Prepare the journal entry to record this transaction.
Correct A. Debit Office Supplies, Credit Cash ₦10,000
B. Debit Cash, Credit Office Supplies ₦10,000
C. Debit Office Supplies, Credit Bank ₦10,000
D. Debit Bank, Credit Office Supplies ₦10,000

Correct Answer: A

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Question 13
A government agency prepares a budget for the year. The budget includes an appropriation of ₦1,000,000 for salaries. The actual expenditure for salaries is ₦1,200,000. What is the variance between the budgeted and actual expenditure?
Correct A. ₦200,000
B. ₦1,200,000
C. ₦1,000,000
D. ₦0

Correct Answer: A

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Question 14
A company maintains incomplete records. The company's accountant estimates the value of the company's assets and liabilities as follows: Assets ₦50,000, Liabilities ₦20,000. What is the company's net worth?
Correct A. ₦30,000
B. ₦50,000
C. ₦20,000
D. ₦70,000

Correct Answer: A

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Question 15
A company prepares a trading account for the year. The company's sales are ₦1,000,000 and the company's purchases are ₦900,000. What is the company's gross profit?
Correct A. ₦100,000
B. ₦900,000
C. ₦1,000,000
D. ₦0

Correct Answer: A

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Question 16
A company issues 10,000, 9% debentures of ₦100 each at a discount of 5%. Calculate the amount received from debenture holders.
A. ₦950,000
B. ₦1,000,000
Correct C. ₦1,050,000
D. ₦1,100,000

Correct Answer: C

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Question 17
A company's trading account shows a profit of ₦250,000. Its profit and loss account shows a profit of ₦300,000. Its balance sheet shows a net worth of ₦1,500,000. What is the company's capital?
A. ₦1,200,000
B. ₦1,300,000
Correct C. ₦1,500,000
D. ₦1,800,000

Correct Answer: C

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Question 18
A company issues 5,000, 10% shares of ₦20 each at a premium of ₦5. Calculate the amount received from shareholders.
A. ₦105,000
B. ₦110,000
Correct C. ₦115,000
D. ₦120,000

Correct Answer: C

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Question 19
A company's balance sheet shows a net worth of ₦1,200,000. Its profit and loss account shows a profit of ₦150,000. Its trading account shows a loss of ₦50,000. What is the company's capital?
A. ₦1,100,000
Correct B. ₦1,200,000
C. ₦1,300,000
D. ₦1,400,000

Correct Answer: B

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Question 20
A company issues 10,000, 12% debentures of ₦50 each at a premium of 10%. Calculate the amount received from debenture holders.
A. ₦550,000
B. ₦600,000
Correct C. ₦650,000
D. ₦700,000

Correct Answer: C

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Question 21
A company uses the double-entry system to record transactions. The company's trial balance shows the following balances: Accounts Payable 10,000, Accounts Receivable 8,000, Common Stock 50,000, and Retained Earnings 20,000. What is the total amount of the company's assets?
Correct A. ₦68,000
B. ₦78,000
C. ₦88,000
D. ₦98,000

Correct Answer: A

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Question 22
A manufacturing company produces two products, A and B. Product A requires 2 hours of labor and 3 units of raw material, while Product B requires 3 hours of labor and 2 units of raw material. If the company has 120 hours of labor available and 180 units of raw material, how many units of Product A and Product B should the company produce to maximize profit?
A. 10 units of A and 15 units of B
Correct B. 15 units of A and 10 units of B
C. 20 units of A and 5 units of B
D. 5 units of A and 20 units of B

Correct Answer: B

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Question 23
A public sector organization has the following transactions: Cash 10,000, Accounts Payable 8,000, Accounts Receivable 6,000, and Common Stock 40,000. What is the total amount of the organization's assets?
Correct A. ₦64,000
B. ₦74,000
C. ₦84,000
D. ₦94,000

Correct Answer: A

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Question 24
A partnership has two partners, A and B. Partner A has a 60% interest in the partnership and Partner B has a 40% interest. If the partnership has a net income of 10,000, how much will Partner A receive in cash?
Correct A. ₦6,000
B. ₦7,000
C. ₦8,000
D. ₦9,000

Correct Answer: A

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Question 25
A company uses the straight-line method to depreciate its assets. If the asset has a useful life of 5 years and a cost of 50,000, what is the annual depreciation expense?
A. ₦10,000
B. ₦12,000
Correct C. ₦15,000
D. ₦18,000

Correct Answer: C

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