POST UTME OAU 2017 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company's balance sheet shows a debit balance of ₦50,000 in the suspense account. The company's cash account has a credit balance of ₦20,000. What is the amount to be transferred from the suspense account to the cash account?
A. ₦30,000
B. ₦40,000
C. ₦50,000
D. ₦60,000
Question 2
A company's bank reconciliation statement for the year ended 31st December 2022 is as follows: Bank Statement £ 20,000 Cash Book £ 25,000 What is the company's bank balance?
A. £ 15,000
B. £ 20,000
C. £ 25,000
D. £ 30,000
Question 3
In a partnership account, the capital of a partner is increased by ₦50,000. The partner's current profit-sharing ratio is 3:5. If the partner's initial capital was ₦120,000, what is the new profit-sharing ratio?
A. 2:4
B. 3:6
C. 4:6
D. 5:7
Question 4
A company's trial balance shows a discrepancy of ₦10,000. The company's accountant has identified the error as a mistake in the posting of a transaction. What is the correct amount of the transaction?
A. ₦5,000
B. ₦10,000
C. ₦15,000
D. ₦20,000
Question 5
A company uses the double entry system to record its transactions. The company purchases office equipment for ₦50,000. What is the effect on the accounting equation?
A. Assets increase by ₦50,000 and liabilities decrease by ₦50,000.
B. Assets increase by ₦50,000 and equity increases by ₦50,000.
C. Assets decrease by ₦50,000 and liabilities increase by ₦50,000.
D. Assets decrease by ₦50,000 and equity decreases by ₦50,000.
Question 6
A company issues 5,000, 10% debentures of ₦100 each at a discount of 5%. The debentures are redeemable at the end of 5 years. Prepare the journal entry to record the issue of debentures.
A. Debit Debenture Discount ₹ 50,000, Credit Cash ₹ 4,95,000
B. Debit Debenture Discount ₹ 50,000, Credit Cash ₹ 4,95,000, Credit Bank ₹ 50,000
C. Debit Debenture Discount ₹ 50,000, Credit Cash ₹ 4,95,000, Credit Bank ₹ 50,000, Credit Discount ₹ 50,000
D. Debit Debenture Discount ₹ 50,000, Credit Cash ₹ 4,95,000, Credit Bank ₹ 50,000, Credit Discount ₹ 50,000, Credit Profit and Loss ₹ 50,000
Question 7
A company's balance sheet as at 31st December 2022 is as follows: Assets: £ 100,000 (Cash) £ 200,000 (Debtors) Liabilities: £ 50,000 (Creditors) What is the company's net worth?
A. £ 50,000
B. £ 100,000
C. £ 150,000
D. £ 200,000
Question 8
A company purchases a machine for ₦100,000. The machine has a useful life of 5 years and a residual value of ₦20,000. What is the annual depreciation charge?
A. ₦16,000
B. ₦18,000
C. ₦20,000
D. ₦22,000
Question 9
A company has the following assets: Cash ₦50,000, Accounts Receivable ₦20,000, Inventory ₦30,000, and Property, Plant, and Equipment ₦100,000. What is the total value of the assets?
A. ₦200,000
B. ₦250,000
C. ₦300,000
D. ₦350,000
Question 10
A company uses the cash book to record its transactions. The cash book shows a balance of ₦10,000. However, the bank statement shows a balance of ₦8,000. What is the reason for the difference?
A. The company has not recorded a deposit of ₦2,000.
B. The company has not recorded a withdrawal of ₦2,000.
C. The bank has charged a service fee of ₦2,000.
D. The company has not recorded a loan of ₦2,000.
Question 11
A company uses the weighted average method to value its inventory. If the cost of goods available for sale is ₦500,000 and the cost of goods sold is ₦450,000, what is the value of the company's inventory?
A. ₦50,000
B. ₦75,000
C. ₦100,000
D. ₦125,000
Question 12
A company uses the single entry system of accounting. The following are the ledger accounts for the year ended December 31, 2022:
A. ₦30,000
B. ₦60,000
C. ₦90,000
D. ₦120,000
Question 13
A company issued 10,000 shares of 1 par value at a premium of 3 per share. The company also issued 5,000 debentures of 100 each. Calculate the total amount of share capital and debenture capital.
A. ₦150,000
B. ₦250,000
C. ₦350,000
D. ₦450,000
Question 14
A company has the following ledger accounts: Cash = ₦50,000, Accounts Payable = ₦30,000, and Common Stock = ₦100,000. The company also has a loan from a bank of ₦20,000. Calculate the total amount of assets.
A. ₦200,000
B. ₦250,000
C. ₦300,000
D. ₦350,000
Question 15
A partnership has two partners, A and B, who share profits and losses in the ratio 3:2. If the profit for the year is ₦120,000, how much will each partner receive?
A. ₦90,000
B. ₦60,000
C. ₦80,000
D. ₦100,000

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