POST UTME GREENFIELD UNIVERSITY 2023 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A partnership has two partners, A and B. The capital accounts of A and B are ₦50,000 and ₦30,000 respectively. The profit-sharing ratio is 3:2. Calculate the profit to be distributed to A.
A. ₦15,000
B. ₦20,000
C. ₦25,000
D. ₦30,000
Question 2
A company issued 10,000 shares of 5 par value at a premium of 2 per share. If the company received a total of 60,000, what is the amount of the premium received?
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 3
A company uses the single entry system of accounting. The company's sole proprietor, John, has a capital account of ₦100,000. During the year, John withdrew ₦20,000 from the business for personal use. What is the correct journal entry to record John's withdrawal?
A. Debit Capital Account ₦20,000, Credit Drawings ₦20,000
B. Debit Drawings ₦20,000, Credit Capital Account ₦20,000
C. Debit Capital Account ₦20,000, Credit Cash ₦20,000
D. Debit Cash ₦20,000, Credit Capital Account ₦20,000
Question 4
A company has the following transactions for the year: sale of goods, ₦1,000,000; purchase of goods, ₦800,000; and purchase of equipment, ₦200,000. The company uses the cash method of accounting. What is the net income for the year?
A. ₦200,000
B. ₦300,000
C. ₦400,000
D. ₦500,000
Question 5
A company purchased a machine for ₦1,500,000. The machine is expected to have a useful life of 5 years and a residual value of ₦0. The company uses the straight-line method of depreciation. Calculate the annual depreciation charge.
A. ₦10,000
B. ₦10,500
C. ₦11,000
D. ₦11,500
Question 6
A company issued 5,000 debentures of ₦10 each at a discount of ₥0.50 per debenture. The debentures were subscribed for by the public for ₥0,000,000. Calculate the amount received from the public for the debentures issued.
A. ₥0.50
B. ₥0,000,000
C. ₥0,050,000
D. ₥0,050,500
Question 7
A company has the following ledger balances: Cash 80,000, Accounts Payable 30,000, Common Stock 180,000. If the company's total assets are 250,000, what is the amount of its total liabilities?
A. ₦120,000
B. ₦150,000
C. ₦180,000
D. ₦200,000
Question 8
A company issues 10,000 shares of ₦10 each at a premium of ₦5 per share. Calculate the total amount received from the issue of shares.
A. ₦100,000
B. ₦150,000
C. ₦200,000
D. ₦250,000
Question 9
A company issues 1,000 shares of ₦10 each at a premium of ₦5 per share. The company receives a total of ₦15,000 from the sale of shares. What is the correct journal entry to record the issue of shares?
A. Debit Share Capital ₦15,000, Credit Cash ₦15,000
B. Debit Share Premium ₦5,000, Credit Share Capital ₦10,000
C. Debit Cash ₦15,000, Credit Share Capital ₦10,000
D. Debit Share Premium ₦5,000, Credit Cash ₦5,000
Question 10
A company purchased a building for ₦1,000,000. The building is expected to have a useful life of 10 years and a residual value of ₥0. The company uses the straight-line method of depreciation. Calculate the annual depreciation charge.
A. ₦10,000
B. ₦10,500
C. ₦11,000
D. ₦11,500
Question 11
A company issued 8,000 shares of 10 par value at a premium of 3 per share. If the company received a total of 240,000, what is the amount of the premium received?
A. ₦24,000
B. ₦48,000
C. ₦72,000
D. ₦96,000
Question 12
A company issued 10,000 shares of ₦1 each at a premium of ₦0.50 per share. The shares were subscribed for by the public for ₦1,000,000. Calculate the amount received from the public for the shares issued.
A. ₦0.50
B. ₦1,000,000
C. ₦1,050,000
D. ₦1,050,500
Question 13
A company's trial balance shows a debit balance of ₦12,000 in the 'Rent Expense' account. However, the company's accounting records indicate that the rent expense for the year was ₦15,000. What is the correct journal entry to record the adjustment?
A. Debit Rent Expense ₦3,000, Credit Cash ₦3,000
B. Debit Rent Expense ₦3,000, Credit Rent Payable ₦3,000
C. Debit Rent Expense ₦3,000, Credit Rent Expense ₦3,000
D. Debit Rent Expense ₦3,000, Credit Cash ₦15,000
Question 14
A company has a cash book and a bank statement. The cash book shows a balance of ₦120,000, while the bank statement shows a balance of ₦150,000. The bank statement also shows a credit of ₦30,000 for a loan received from a customer. The cash book shows a debit of ₦20,000 for a loan paid to a supplier. What is the correct explanation for the difference between the cash book balance and the bank statement balance?
A. The difference is due to the loan received from the customer.
B. The difference is due to the loan paid to the supplier.
C. The difference is due to the cash book balance being overstated.
D. The difference is due to the bank statement balance being understated.
Question 15
A company issued 5,000 shares of 10 par value at a premium of 5 per share. If the company received a total of 250,000, what is the amount of the premium received?
A. ₦125,000
B. ₦250,000
C. ₦375,000
D. ₦500,000

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