POST UTME JOSEPH AYO BABALOLA UNIVERSITY 2019 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company has a cash book balance of ₠ 100,000. The bank statement shows a balance of ₠ 120,000. The company's cash book shows a debit balance of ₠ 20,000. What is the amount of the bank reconciliation statement?
A. ₠ 20,000
B. ₠ 30,000
C. ₠ 40,000
D. ₠ 50,000
Question 2
A company's trial balance showed an error of ₦10,000 in the accounts receivable account. The correct balance should have been ₦30,000. What is the effect of this error on the company's net income?
A. ₦10,000 increase
B. ₦10,000 decrease
C. ₦10,000 increase
D. ₦10,000 decrease
Question 3
A company issued 5,000 shares of its common stock at ₦20 per share. The company also issued 2,000 shares of its 8% preferred stock at ₦50 per share. What is the total amount of cash received from the issuance of these shares?
A. ₦120,000
B. ₦150,000
C. ₦180,000
D. ₦210,000
Question 4
A company has a machine that depreciates by 10% per year. If the initial cost of the machine is ₦500,000, what is the value of the machine after 3 years?
A. ₦350,000
B. ₦400,000
C. ₦450,000
D. ₦500,000
Question 5
A company has the following transactions during the year: Debit: Raw Materials ₦50,000, Work-in-Progress ₦100,000, Finished Goods ₦150,000 Credit: Raw Materials ₦20,000, Work-in-Progress ₦80,000, Finished Goods ₦120,000 What is the total value of the Raw Materials at the beginning of the year?
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000
Question 6
A company uses the self-balancing ledger system of accounting. The following transactions occurred during the year: Purchase of a machine for ₦500,000 Purchase of office supplies for ₦30,000 Salaries paid: ₦150,000 Rent paid: ₦60,000 What is the total amount of assets recorded in the self-balancing ledger system?
A. ₦680,000
B. ₦690,000
C. ₦680,000
D. ₦690,000
Question 7
A manufacturing company uses the weighted average method to value its inventory. The company's beginning inventory was valued at ₦120,000 and consisted of 1,000 units. During the period, 2,500 units were purchased at ₦40 each. The company sold 1,200 units at ₦60 each. The ending inventory consisted of 1,800 units. Using the weighted average method, what is the value of the ending inventory?
A. ₦144,000
B. ₦156,000
C. ₦168,000
D. ₦180,000
Question 8
A company has a trial balance that shows a total debit balance of ₦500,000 and a total credit balance of ₦550,000. What is the error in the trial balance?
A. ₦25,000
B. ₦50,000
C. ₦75,000
D. ₦100,000
Question 9
A company has the following transactions during the year: Debit: Raw Materials ₦50,000, Work-in-Progress ₦100,000, Finished Goods ₦150,000 Credit: Raw Materials ₦20,000, Work-in-Progress ₦80,000, Finished Goods ₦120,000 What is the total value of the Finished Goods at the end of the year?
A. ₦120,000
B. ₦150,000
C. ₦180,000
D. ₦200,000
Question 10
A company produces two products, X and Y. Product X has a selling price of ₦250, a variable cost of ₦120, and a fixed cost of ₦15,000. Product Y has a selling price of ₦300, a variable cost of ₦180, and a fixed cost of ₦20,000. If the company sells 200 units of Product X and 150 units of Product Y, what is the total profit?
A. ₦45,000
B. ₦50,000
C. ₦55,000
D. ₦60,000
Question 11
A company has the following transactions during the year: Debit: Raw Materials ₦50,000, Work-in-Progress ₦100,000, Finished Goods ₦150,000 Credit: Raw Materials ₦20,000, Work-in-Progress ₦80,000, Finished Goods ₦120,000 What is the total value of the Finished Goods at the beginning of the year?
A. ₦120,000
B. ₦130,000
C. ₦140,000
D. ₦150,000
Question 12
A company uses the weighted average method to value its inventory. The company has three types of inventory: raw materials, work-in-progress, and finished goods. The cost of raw materials is ₦120,000, and the cost of work-in-progress is ₦150,000. The finished goods inventory has a cost of ₦180,000. If the company uses a 40% weight for raw materials, a 30% weight for work-in-progress, and a 30% weight for finished goods, what is the total value of the inventory?
A. ₦150,000
B. ₦180,000
C. ₦200,000
D. ₦220,000
Question 13
A company has the following departmental accounts: Manufacturing Department: Cost of Goods Sold \1,000,000, Depreciation \200,000, Gross Profit \800,000; Selling Department: Cost of Goods Sold \500,000, Operating Expenses \200,000, Net Income \100,000. What is the company's total gross profit?
A. \1,600,000
B. \1,800,000
C. \2,000,000
D. \2,200,000
Question 14
A company issued 10,000 shares of ₠ 1 each at a premium of ₠ 2 per share. The issue expenses were ₠ 10,000. Calculate the amount received from the issue of shares.
A. ₠ 120,000
B. ₠ 130,000
C. ₠ 140,000
D. ₠ 150,000
Question 15
A company has two partners: A and B. Partner A has a 60% interest in the company and partner B has a 40% interest. If the company's profit is ₠ 100,000, what is partner A's share of the profit?
A. ₠ 60,000
B. ₠ 70,000
C. ₠ 80,000
D. ₠ 90,000

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: