POST UTME FUTO 2024 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company uses the double-entry system to record transactions. If a customer pays ₦12,000 for goods sold, and the company has a 5% discount policy, what is the amount recorded in the cash book?
A. ₦11,400
B. ₦12,000
C. ₦12,600
D. ₦13,200
Question 2
A company's balance sheet shows an increase in assets of ₦50,000 and an increase in liabilities of ₦30,000. What is the net increase in equity?
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000
Question 3
A company has the following ledger balances: | Account | Debit | Credit | | --- | --- | --- | | Cash | 10,000 | | | Bank | | 15,000 | | Sales | | 20,000 | | Purchases | 8,000 | | Prepare the Trial Balance.
A. ₦28,000
B. ₦30,000
C. ₦32,000
D. ₦34,000
Question 4
A company uses the double-entry system of accounting. The following transactions were recorded in the company's ledger for the year ended December 31, 2023: 1. Purchased office equipment for ₦120,000. 2. Sold goods for ₦150,000. 3. Purchased raw materials for ₦80,000. 4. Paid salaries of ₦60,000. 5. Collected cash from customers for ₦100,000. 6. Paid rent for ₦40,000. 7. Purchased a new vehicle for ₦250,000. 8. Sold a vehicle for ₦180,000. 9. Paid electricity bills for ₦20,000. 10. Purchased a new computer for ₦30,000. Prepare a trial balance as at December 31, 2023.
A. ₦120,000
B. ₦150,000
C. ₦80,000
D. ₦60,000
Question 5
A company's cash book shows a balance of ₦2,500. However, the bank statement shows a balance of ₦2,800. What is the correct procedure to reconcile this discrepancy?
A. Prepare a bank reconciliation statement to identify the differences
B. Adjust the cash book balance to match the bank statement balance
C. Prepare a journal entry to record the difference as a gain or loss
D. Ignore the discrepancy and continue with the cash book balance
Question 6
A public sector organization has the following transactions for the month of January: Debit: ₦100,000 (Cash) and ₦50,000 (Office Supplies) Credit: ₦150,000 (Office Supplies) and ₦200,000 (Cash) What is the net effect on the organization's cash balance?
A. ₦50,000 decrease
B. ₦50,000 increase
C. ₦100,000 decrease
D. ₦100,000 increase
Question 7
A company's financial statements are prepared using the accrual accounting method. What is the primary advantage of this method?
A. It matches revenues and expenses with the period in which they are earned
B. It matches revenues and expenses with the period in which they are paid
C. It matches revenues and expenses with the period in which they are received
D. It matches revenues and expenses with the period in which they are incurred
Question 8
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. ₦975,000
C. ₦1,000,000
D. ₦1,025,000
Question 9
A company purchases a machine for ₦500,000. The machine has a useful life of 5 years and a residual value of ₦50,000. Calculate the annual depreciation using the straight-line method.
A. ₦90,000
B. ₦80,000
C. ₦70,000
D. ₦60,000
Question 10
A company uses the double-entry system of accounting. The following transactions were recorded in the company's ledger for the year ended December 31, 2023: 1. Purchased office equipment for ₦120,000. 2. Sold goods for ₦150,000. 3. Purchased raw materials for ₦80,000. 4. Paid salaries of ₦60,000. 5. Collected cash from customers for ₦100,000. 6. Paid rent for ₦40,000. 7. Purchased a new vehicle for ₦250,000. 8. Sold a vehicle for ₦180,000. 9. Paid electricity bills for ₦20,000. 10. Purchased a new computer for ₦30,000. Prepare a trial balance as at December 31, 2023.
A. ₦120,000
B. ₦150,000
C. ₦80,000
D. ₦60,000
Question 11
A company has the following cash transactions for the month of January: ₦100,000 (Cash) and ₦50,000 (Office Supplies) ₦150,000 (Office Supplies) and ₦200,000 (Cash) What is the net effect on the company's cash balance?
A. ₦50,000 decrease
B. ₦50,000 increase
C. ₦100,000 decrease
D. ₦100,000 increase
Question 12
A company has two partners, A and B, who share profits in the ratio 3:2. If the total profit for the year is ₦120,000, how much will A receive?
A. ₦90,000
B. ₦80,000
C. ₦70,000
D. ₦60,000
Question 13
A company purchases a machine for ₦500,000. The machine has a useful life of 5 years and a residual value of ₦50,000. Calculate the annual depreciation using the reducing-balance method.
A. ₦80,000
B. ₦90,000
C. ₦100,000
D. ₦110,000
Question 14
A company purchases a machine for ₦500,000. The machine has a useful life of 5 years and a residual value of ₦50,000. What is the annual depreciation charge using the straight-line method?
A. ₦90,000
B. ₦100,000
C. ₦80,000
D. ₦110,000
Question 15
A firm uses the double-entry system of accounting. If it debits an asset account by ₦50,000 and credits a liability account by ₦30,000, what is the net effect on the firm's equity?
A. Increase by ₦20,000
B. Decrease by ₦20,000
C. No effect
D. Increase by ₦20,000 and decrease by ₦20,000

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Help others prepare! Share this practice hub: