POST UTME NILE UNIVERSITY 2024 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company purchased a machine for ₦1,500,000. Depreciation is calculated using the straight-line method. If the machine is expected to last for 5 years, calculate the annual depreciation charge.
A. ₦300,000
B. ₦150,000
C. ₦75,000
D. ₦30,000
Question 2
A public sector organization has the following transactions for the month of January: Revenue 100,000, Expenditure 80,000, and Capital Expenditure 20,000. What is the net surplus for the month?
A. 10,000
B. 20,000
C. 30,000
D. 40,000
Question 3
A company's bank reconciliation statement shows a difference of ₦15,000 between the company's cash book balance and the bank statement balance. The company's cash book balance is ₦100,000, and the bank statement balance is ₦115,000. What is the reason for the difference?
A. Bank error
B. Company error
C. NSF cheque
D. Interest on bank deposit
Question 4
A company issues 5,000 debentures of ₡00 each at a premium of ₥ per debenture. Calculate the total amount received from the issue of debentures.
A. ₥0,000
B. ₥0,500
C. ₥1,000
D. ₥1,500
Question 5
A company issued 10,000 ordinary 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. ₦105,000
C. ₦105,000
D. ₦105,000
Question 6
A company uses the double-entry system to record transactions. Which of the following journal entries would be recorded in the general journal?
A. Debit Cash 1,000 and Credit Accounts Receivable 1,000
B. Debit Accounts Payable 1,000 and Credit Cash 1,000
C. Debit Sales Revenue 1,000 and Credit Accounts Receivable 1,000
D. Debit Accounts Receivable 1,000 and Credit Cash 1,000
Question 7
A company issued 10,000 ordinary 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. ₦105,000
C. ₦105,000
D. ₦105,000
Question 8
A company's trial balance shows a debit balance of ₦15,000 in the 'Rent Received' account. However, the company's accounting records show that it has not received any rent from tenants. What is the correct treatment for this discrepancy?
A. Debit the 'Rent Received' account by ₦15,000
B. Credit the 'Rent Received' account by ₦15,000
C. Debit the 'Rent Received' account by ₦15,000 and credit the 'Rent Paid' account by ₦15,000
D. Do nothing, as it is a normal transaction
Question 9
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. ₦150,000
B. ₦100,000
C. ₦50,000
D. ₦25,000
Question 10
A company's trial balance showed an error of ₦10,000 in the debit side of the purchases account. The correct amount of purchases was ₦150,000. Prepare the necessary journal entry to correct the error.
A. Debit Purchases ₦160,000, Credit Purchases ₦150,000
B. Debit Purchases ₦160,000, Credit Purchases ₦160,000
C. Debit Purchases ₦150,000, Credit Purchases ₦160,000
D. Debit Purchases ₦160,000, Credit Purchases ₦10,000
Question 11
Determine the amount of depreciation on a machine that cost ₦120,000, has a useful life of 5 years, and a residual value of ₦20,000. The machine is depreciated using the straight-line method.
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000
Question 12
A company's balance sheet showed a capital of ₦500,000. The company made a profit of ₦100,000 and distributed ₦50,000 as dividend. Prepare the necessary journal entry to record the profit and dividend.
A. Debit Profit and Loss Account ₦100,000, Credit Capital ₦100,000
B. Debit Profit and Loss Account ₦100,000, Credit Dividend Account ₦50,000
C. Debit Capital ₦100,000, Credit Profit and Loss Account ₦100,000
D. Debit Dividend Account ₦50,000, Credit Profit and Loss Account ₦50,000
Question 13
A company issued 5,000 debentures of ₦100 each at a premium of ₦20 per debenture. Calculate the total amount received from the issue of debentures.
A. ₦500,000
B. ₦450,000
C. ₦400,000
D. ₦350,000
Question 14
A manufacturing company uses the weighted average method to value its inventory. The company has the following data for the current year: Cost of Goods Available for Sale = ₦1,000,000, Beginning Inventory = ₦200,000, and Purchases = ₦600,000. What is the cost of goods sold for the year?
A. ₦550,000
B. ₦600,000
C. ₦650,000
D. ₦700,000
Question 15
A company's trial balance showed an error of ₦20,000 in the credit side of the sales account. The correct amount of sales was ₦200,000. Prepare the necessary journal entry to correct the error.
A. Debit Sales ₦220,000, Credit Sales ₦200,000
B. Debit Sales ₦220,000, Credit Sales ₦220,000
C. Debit Sales ₦200,000, Credit Sales ₦220,000
D. Debit Sales ₦220,000, Credit Sales ₦20,000

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