POST UTME IGBINEDION UNIVERSITY 2022 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
In a partnership account, the capital of one partner is withdrawn and replaced by a loan from the same partner. What is the effect on the capital account of the partner?
A. The capital account of the partner is reduced by the amount of the loan.
B. The capital account of the partner is increased by the amount of the loan.
C. The capital account of the partner remains unchanged.
D. The capital account of the partner is reduced by the amount of the withdrawal.
Question 2
A company purchases a machine for ₦500,000 and sells it after one year for ₦600,000. Calculate the gain or loss on the sale of the machine.
A. ₦25,000
B. ₦50,000
C. ₦75,000
D. ₦100,000
Question 3
A company issued 5,000, 9% debentures of ₦100 each at a discount of 5%. Calculate the amount received from the debenture holders.
A. ₦475,000
B. ₦450,000
C. ₦475,000
D. ₦500,000
Question 4
A company's trial balance as of December 31, 2022, is as follows: Debit ₦ 50,000 Cash ₦ 20,000 Accounts Receivable ₦ 30,000 Inventory ₦ 10,000 Prepaid Rent ₦ 5,000 Office Supplies ₦ 15,000 Equipment ₦ 20,000 Accumulated Depreciation ₦ 10,000 Salaries Payable ₦ 5,000 Taxes Payable Credit ₦ 40,000 Accounts Payable ₦ 30,000 Notes Payable ₦ 20,000 Common Stock ₦ 15,000 Retained Earnings What is the total amount of assets on the balance sheet?
A. ₦ 95,000
B. ₦ 105,000
C. ₦ 115,000
D. ₦ 125,000
Question 5
A company issued 10,000 shares of ₦10 each at a premium of ₦5 per share. Calculate the total amount received from the issue of shares.
A. ₦105,000
B. ₦100,000
C. ₦105,000
D. ₦110,000
Question 6
A company issued 10,000 shares of ₦10 each at a premium of ₦5 per share. Calculate the total amount received from shareholders and the amount of premium.
A. ₦105,000
B. ₦110,000
C. ₦115,000
D. ₦120,000
Question 7
A company's balance sheet shows the following information: Cash ₦50,000, Accounts Payable ₦30,000, and Common Stock ₦100,000. What is the company's total liabilities?
A. ₦80,000
B. ₦90,000
C. ₦100,000
D. ₦110,000
Question 8
A government agency has the following transactions: Purchase of office equipment ₦50,000, Salaries ₦200,000, Rent ₦100,000. What is the correct format for the journal entry?
A. Debit Office Equipment ₦50,000, Debit Salaries ₦200,000, Debit Rent ₦100,000, Credit Cash ₦350,000
B. Debit Cash ₦350,000, Credit Office Equipment ₦50,000, Credit Salaries ₦200,000, Credit Rent ₦100,000
C. Debit Office Equipment ₦50,000, Debit Salaries ₦200,000, Debit Rent ₦100,000, Credit Cash ₦350,000
D. Debit Salaries ₦200,000, Debit Rent ₦100,000, Debit Office Equipment ₦50,000, Credit Cash ₦350,000
Question 9
A company uses the weighted average method to value its inventory. If the cost of the inventory is ₦100,000 and the company has 500 units, what is the cost per unit?
A. ₦150
B. ₦200
C. ₦250
D. ₦300
Question 10
A company uses the perpetual inventory system. On January 1, 2022, it had 500 units of a product in stock, valued at ₦150 each. During the year, 300 units were sold, and 200 units were purchased at ₦180 each. If the company uses the weighted average method to value inventory, what is the total value of inventory on December 31, 2022?
A. ₦63,000
B. ₦66,000
C. ₦69,000
D. ₦72,000
Question 11
A company's income statement shows the following information: Sales ₦500,000, Cost of Goods Sold ₦300,000, and Gross Profit ₦200,000. What is the company's net income?
A. ₦150,000
B. ₦200,000
C. ₦250,000
D. ₦300,000
Question 12
A company has the following transactions in its trial balance: Debit balance of ₦10,000 and Credit balance of ₦15,000. What is the correct treatment of this transaction in the accounting equation?
A. The transaction is treated as an asset.
B. The transaction is treated as a liability.
C. The transaction is treated as an equity.
D. The transaction is treated as a revenue.
Question 13
A company issued 5,000, 10% debentures of ₦100 each at a discount of 5%. Calculate the amount received from the debenture holders.
A. ₦475,000
B. ₦480,000
C. ₦485,000
D. ₦490,000
Question 14
A company purchases raw materials worth ₦100,000 and sells finished goods worth ₦150,000. Calculate the gross profit.
A. ₦25,000
B. ₦50,000
C. ₦75,000
D. ₦100,000
Question 15
A company's assets are ₦1,000,000, liabilities are ₦200,000, and equity is ₦800,000. Calculate the company's liquidity ratio.
A. 1.33
B. 1.33
C. 1.33
D. 1.33

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