POST UTME FUTO 2024 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 2024 Accounting (Objective) questions designed to simulate the real exam environment.

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?
Correct A. ₦11,400
B. ₦12,000
C. ₦12,600
D. ₦13,200

Correct Answer: A

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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?
Correct A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000

Correct Answer: A

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Question 3
A company's cash book shows a debit balance of ₦15,000. What is the corresponding credit balance in the ledger?
A. ₦15,000
Correct B. ₦-15,000
C. ₦-₦15,000
D. ₦₦15,000

Correct Answer: B

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Question 4
A company's trading account shows a profit of ₦20,000. If the company's cost of goods sold is ₦80,000 and its sales revenue is ₦100,000, what is the gross profit percentage?
A. 20%
Correct B. 25%
C. 30%
D. 35%

Correct Answer: B

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Question 5
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?
Correct A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000

Correct Answer: A

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Question 6
A company uses the double-entry system of accounting. If the company's assets increase by ₦50,000 and its liabilities decrease by ₦30,000, what is the effect on the company's equity?
Correct A. ₦20,000 increase
B. ₦20,000 decrease
C. ₦50,000 increase
D. ₦30,000 increase

Correct Answer: A

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Question 7
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 profit of ₦120,000, how much will Partner A receive?
Correct A. ₦72,000
B. ₦48,000
C. ₦60,000
D. ₦80,000

Correct Answer: A

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Question 8
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?
Correct A. ₦90,000
B. ₦100,000
C. ₦80,000
D. ₦110,000

Correct Answer: A

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Question 9
A company prepares a trial balance. The debit side has a total of ₦200,000 and the credit side has a total of ₦250,000. What is the nature of the error?
A. Error of omission
Correct B. Error of commission
C. Error of principle
D. Error of posting

Correct Answer: B

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Question 10
A company has the following ledger accounts: Cash ₦50,000, Accounts Payable ₦30,000, and Common Stock ₦100,000. What is the total amount of the company's assets?
Correct A. ₦180,000
B. ₦120,000
C. ₦180,000
D. ₦200,000

Correct Answer: A

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Question 11
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
Correct B. ₦80,000
C. ₦70,000
D. ₦60,000

Correct Answer: B

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Question 12
A firm has the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Cash | 10,000 | | | 1st Jan | Bank | | 10,000 | | 2nd Jan | Sales | | 15,000 | | 3rd Jan | Purchases | 8,000 | | | 3rd Jan | Bank | | 8,000 | Prepare the Cash Book and Bank Reconciliation Statement.
A. ₦7,000
Correct B. ₦8,000
C. ₦9,000
D. ₦10,000

Correct Answer: B

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Question 13
A partnership is formed between two individuals, A and B, with capital contributions of ₦200,000 and ₦300,000 respectively. The profit-sharing ratio is 2:3. Calculate the profit-sharing ratio in terms of the capital contributions.
A. 1:2
Correct B. 2:3
C. 3:4
D. 4:5

Correct Answer: B

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Question 14
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
Correct B. ₦30,000
C. ₦32,000
D. ₦34,000

Correct Answer: B

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Question 15
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
Correct B. ₦90,000
C. ₦100,000
D. ₦110,000

Correct Answer: B

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Question 16
A company uses the single-entry system of accounting. The following transactions were recorded in the incomplete records of the company 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.
Correct A. ₦120,000
B. ₦150,000
C. ₦80,000
D. ₦60,000

Correct Answer: A

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Question 17
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.
Correct A. ₦120,000
B. ₦150,000
C. ₦80,000
D. ₦60,000

Correct Answer: A

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Question 18
A company uses the single-entry system of accounting. The following transactions were recorded in the incomplete records of the company 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.
Correct A. ₦120,000
B. ₦150,000
C. ₦80,000
D. ₦60,000

Correct Answer: A

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Question 19
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.
Correct A. ₦120,000
B. ₦150,000
C. ₦80,000
D. ₦60,000

Correct Answer: A

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Question 20
A company uses the single-entry system of accounting. The following transactions were recorded in the incomplete records of the company 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.
Correct A. ₦120,000
B. ₦150,000
C. ₦80,000
D. ₦60,000

Correct Answer: A

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Question 21
A company uses the straight-line method to depreciate its assets. If the asset's useful life is 5 years and the residual value is ₦50,000, what is the annual depreciation charge if the asset's cost is ₦250,000?
A. ₦40,000
Correct B. ₦45,000
C. ₦50,000
D. ₦55,000

Correct Answer: B

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Question 22
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?
Correct A. ₦50,000 decrease
B. ₦50,000 increase
C. ₦100,000 decrease
D. ₦100,000 increase

Correct Answer: A

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Question 23
A company uses the double-declining balance method to depreciate its assets. If the asset's cost is ₦200,000, its residual value is ₦20,000, and its useful life is 5 years, what is the annual depreciation charge?
A. ₦30,000
Correct B. ₦40,000
C. ₦50,000
D. ₦60,000

Correct Answer: B

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Question 24
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?
Correct A. ₦50,000 decrease
B. ₦50,000 increase
C. ₦100,000 decrease
D. ₦100,000 increase

Correct Answer: A

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Question 25
A company uses the straight-line method to depreciate its assets. If the asset's useful life is 5 years and the residual value is ₦50,000, what is the annual depreciation charge if the asset's cost is ₦250,000?
A. ₦40,000
Correct B. ₦45,000
C. ₦50,000
D. ₦55,000

Correct Answer: B

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