POST UTME JOSEPH AYO BABALOLA UNIVERSITY 2021 Accounting | Objective
Practice these randomly selected questions to test your readiness.
Question 1
A company issues 10,000, 10% debentures of ₦100 each at a premium of 10%. The debentures are redeemable at the end of 5 years. Calculate the amount of interest to be paid annually.
Question 2
A company has a trial balance as follows:
| Account | Debit | Credit |
| --- | --- | --- |
| Cash | ₦100,000 | |
| Accounts Payable | | ₦50,000 |
| Sales | | ₦200,000 |
| Cost of Goods Sold | ₦150,000 | |
| Net Income | | ₦50,000 |
Identify the error in the trial balance.
Question 3
A public sector organization has the following transactions in its cash book: Debit: ₦100,000, Credit: ₦120,000. What is the balance in the cash book?
Question 4
A partnership is formed between two partners, A and B, with a capital of ₦200,000 and ₦300,000 respectively. After 2 years, A withdraws ₦50,000 and B adds ₦20,000. Calculate the new capital of the partnership.
Question 5
A company's assets are valued at ₦1,500,000. The company's liabilities are ₦800,000. What is the company's equity?
Question 6
A company has the following transactions: Jan 1, 2022, Cash 500,000; Jan 10, 2022, Purchased goods for ₦200,000; Jan 15, 2022, Sold goods for ₦150,000. Prepare the cash book and bank reconciliation statement.
Question 7
A company's trial balance as of December 31, 2022, is as follows: Debit Credit
Question 8
A partnership is formed between two individuals, A and B, with a capital contribution of ₦500,000 and ₦300,000 respectively. The partnership agreement states that profits and losses will be shared in the ratio 3:2. If the partnership earns a profit of ₦150,000, how much will A receive?
Question 9
A company's balance sheet as of December 31, 2022, is as follows: Assets 100,000; Liabilities 50,000; Equity 50,000. What is the company's current ratio?
Question 10
A company uses the perpetual inventory system. On January 1, 2022, it had 500 units of a product in stock, valued at ₦25 each. During the year, 300 units were sold, and 200 units were purchased at ₦30 each. The company uses the weighted average method to value its inventory. What is the total value of inventory on December 31, 2022?
Question 11
A company has the following control account: Sales Ledger: ₦500,000, Purchase Ledger: ₦300,000. What is the total value of the company's assets?
Question 12
A bank reconciliation statement shows a difference of ₦5,000 between the cash book balance and the bank statement balance. What is the reason for this difference?
Question 13
A company's income statement for the year ended December 31, 2022, is as follows: Revenue 200,000; Cost of Goods Sold 100,000; Gross Profit 100,000; Operating Expenses 50,000; Net Income 50,000. What is the company's gross margin percentage?
Question 14
A company issued 5,000, 10% debentures of ₦100 each at a discount of 5%. The debentures are redeemable after 5 years. Calculate the amount of discount on the debentures.
Question 15
A company's financial records show that it has purchased a piece of equipment for ₦100,000. However, the company's trial balance shows a debit balance of ₦80,000 in the 'Equipment' account. What is the correct journal entry to record the discrepancy?
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