POST UTME IMS U 2017 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A manufacturing company uses the process costing method to value its products. The company has two departments: Cutting and Assembly. The Cutting department has a total cost of ₦100,000 and the Assembly department has a total cost of ₦150,000. If the company produces 1,000 units of product, what is the total cost per unit?
A. ₦125
B. ₦150
C. ₦175
D. ₦200
Question 2
A company's manufacturing account for the year ended 31st December 20X7 is as follows: Direct Materials ₦ 50,000 Direct Labour ₦ 30,000 Overheads ₦ 20,000 Total Cost ₦ 100,000 What is the correct cost of goods manufactured?
A. ₦ 100,000
B. ₦ 120,000
C. ₦ 150,000
D. ₦ 180,000
Question 3
A company's trial balance shows the following balances: | Account | Debit | Credit | | --- | --- | --- | | Cash | ₦1,000 | | | Bank | | ₦500 | | Purchases | ₦200 | | | Sales | | ₦300 | Prepare the ledger accounts.
A. ₦1,200
B. ₦1,300
C. ₦1,400
D. ₦1,500
Question 4
Determine the correct order of operations for the following expression: ( rac{1}{2} imes (3 + 4) div (2 - 1) )
A. Parentheses, Exponents, Multiplication and Division, Addition and Subtraction
B. Parentheses, Multiplication and Division, Exponents, Addition and Subtraction
C. Parentheses, Exponents, Multiplication and Division, Addition and Subtraction
D. Parentheses, Multiplication and Division, Addition and Subtraction, Exponents
Question 5
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Cash | ₦1,000 | | | 2nd Jan | Bank | | ₦500 | | 3rd Jan | Cash | ₦200 | | | 4th Jan | Bank | | ₦300 | Prepare the bank reconciliation statement.
A. ₦1,200
B. ₦1,300
C. ₦1,400
D. ₦1,500
Question 6
A company's cash book shows a balance of ₦150,000. However, the bank statement shows a balance of ₦120,000. The difference is due to a bank error. The company's accountant wants to reconcile the two balances. What is the first step the accountant should take?
A. Verify the cash book and bank statement balances
B. Contact the bank to investigate the error
C. Reconcile the two balances by adjusting the cash book
D. Reconcile the two balances by adjusting the bank statement
Question 7
A company uses the job order costing method. The company had the following data for the year: Direct Materials: ₦100,000 Direct Labor: ₦150,000 Manufacturing Overhead: ₦50,000 Calculate the total cost of goods manufactured for the year.
A. ₦300,000
B. ₦350,000
C. ₦400,000
D. ₦450,000
Question 8
A company's cash book shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1st Jan | Cash | ₦1,000 | | | 2nd Jan | Bank | | ₦500 | | 3rd Jan | Cash | ₦200 | | | 4th Jan | Bank | | ₦300 | Prepare the bank reconciliation statement.
A. ₦1,200
B. ₦1,300
C. ₦1,400
D. ₦1,500
Question 9
A company's bank statement as of December 31, 2022, is as follows: Debit Cash: ₦100,000 Credit Bank Service Charge: ₦5,000 Prepare the company's bank reconciliation statement as of December 31, 2022.
A. Bank Balance: ₦95,000, Company Balance: ₦100,000
B. Bank Balance: ₦90,000, Company Balance: ₦100,000
C. Bank Balance: ₦95,000, Company Balance: ₦90,000
D. Bank Balance: ₦90,000, Company Balance: ₦95,000
Question 10
A company uses the weighted average method to value its inventory. The company had the following data for the year: Beginning inventory: 1,000 units @ ₦50 per unit Purchases: 5,000 units @ ₦60 per unit Sales: 3,000 units @ ₦120 per unit Ending inventory: 1,500 units @ ₦55 per unit Calculate the cost of goods sold for the year.
A. ₦180,000
B. ₦200,000
C. ₦220,000
D. ₦240,000
Question 11
A company's trial balance as at 31st December 20X7 is as follows: Debit ₦ 50,000 Credit ₦ 60,000 What is the correct journal entry to rectify the error?
A. Debit ₦ 10,000, Credit ₦ 10,000
B. Debit ₦ 10,000, Credit ₦ 20,000
C. Debit ₦ 20,000, Credit ₦ 10,000
D. Debit ₦ 30,000, Credit ₦ 30,000
Question 12
A company's trial balance shows the following account balances: Accounts Payable ₦50,000, Sales Revenue ₦100,000, Cost of Goods Sold ₦80,000. Determine the correct journal entry to record the sale of goods.
A. Debit Accounts Payable ₦50,000, Credit Sales Revenue ₦100,000
B. Debit Cost of Goods Sold ₦80,000, Credit Sales Revenue ₦100,000
C. Debit Accounts Payable ₦50,000, Debit Cost of Goods Sold ₦80,000, Credit Sales Revenue ₦130,000
D. Debit Accounts Payable ₦50,000, Credit Sales Revenue ₦100,000, Debit Cost of Goods Sold ₦80,000
Question 13
A company discovers an error in its accounting records. The error is a mistake in the calculation of the cost of goods sold. The correct cost of goods sold is ₦50,000, but the company recorded it as ₦60,000. What is the effect of this error on the company's net income?
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 14
A company uses the incomplete records method to record its transactions. The following transactions occurred during the year:
A. ₦100,000
B. ₦120,000
C. ₦150,000
D. ₦180,000
Question 15
A company uses the straight-line method of depreciation. The asset's cost is ₦100,000, and its useful life is 5 years. What is the annual depreciation expense?
A. ₦20,000
B. ₦25,000
C. ₦30,000
D. ₦35,000

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