POST UTME OAU 2022 Accounting | Objective

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Question 1
A company prepares its financial statements in accordance with the accrual accounting method. At the end of the year, the company has the following accounts: Rent Expense (₦50,000), Salaries Expense (₦30,000), and Utilities Expense (₦20,000). What is the total amount of expenses for the year?
A. ₦100,000
B. ₦120,000
C. ₦150,000
D. ₦180,000
Question 2
A company has the following transactions for the month of January: | Date | Description | Debit | Credit | | --- | --- | --- | --- | | 1-Jan | Cash | ₦10,000 | | | 5-Jan | Office Supplies | | ₦5,000 | | 10-Jan | Salaries | ₦50,000 | | | 15-Jan | Rent | | ₦20,000 | | 20-Jan | Cash | ₦30,000 | | | 25-Jan | Utilities | | ₦10,000 | Prepare the ledger accounts for the month of January.
A. ₦60,000
B. ₦70,000
C. ₦80,000
D. ₦90,000
Question 3
A company's trial balance shows a credit balance of ₦10,000 in the account 'Accrued Expenses'. However, the company's accountant has informed you that the correct value of the accrued expenses is ₦15,000. What is the correct journal entry to record the correction?
A. ₦5,000 debit to Accrued Expenses and ₦5,000 credit to Profit and Loss Account
B. ₦5,000 debit to Profit and Loss Account and ₦5,000 credit to Accrued Expenses
C. ₦10,000 debit to Accrued Expenses and ₦10,000 credit to Profit and Loss Account
D. ₦10,000 debit to Profit and Loss Account and ₦10,000 credit to Accrued Expenses
Question 4
A company issues 10,000, 10% debentures of ₦100 each at a discount of 5%. Calculate the amount received from the debenture holders and the amount of discount.
A. ₦1,000,000
B. ₦1,050,000
C. ₦1,100,000
D. ₦1,050,000
Question 5
A company has the following transactions for the month of January: | Date | Description | Debit | Credit | | --- | --- | --- | --- | | 1-Jan | Cash | ₦10,000 | | | 5-Jan | Office Supplies | | ₦5,000 | | 10-Jan | Salaries | ₦50,000 | | | 15-Jan | Rent | | ₦20,000 | | 20-Jan | Cash | ₦30,000 | | | 25-Jan | Utilities | | ₦10,000 | Prepare the bank reconciliation statement for the month of January.
A. ₦60,000
B. ₦70,000
C. ₦80,000
D. ₦90,000
Question 6
A company purchases a machine for ₦500,000. The machine has a useful life of 5 years and a residual value of ₦50,000. Calculate the annual depreciation using the straight-line method.
A. ₦90,000
B. ₦80,000
C. ₦70,000
D. ₦60,000
Question 7
A company's cash book shows the following transactions: Debit: ₦10,000, Credit: ₦12,000. What is the correct journal entry for this transaction?
A. Debit: ₦10,000, Credit: ₦12,000
B. Debit: ₦12,000, Credit: ₦10,000
C. Debit: ₦10,000, Credit: ₦10,000
D. Debit: ₦12,000, Credit: ₦12,000
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 | | 800 | What is the balance of the cash account?
A. ₦1,800
B. ₦2,800
C. ₦3,800
D. ₦4,800
Question 9
A company's single entry system shows the following transactions: Debit: ₦10,000, Credit: ₦12,000. What is the correct journal entry for this transaction?
A. Debit: ₦10,000, Credit: ₦12,000
B. Debit: ₦12,000, Credit: ₦10,000
C. Debit: ₦10,000, Credit: ₦10,000
D. Debit: ₦12,000, Credit: ₦12,000
Question 10
A company has the following transactions: | Date | Description | Debit | Credit | | --- | --- | --- | --- | | 1 Jan | Purchase of Equipment | ₦100,000 | | | 2 Jan | Sale of Goods | | ₦150,000 | | 3 Jan | Purchase of Inventory | ₦50,000 | | | 4 Jan | Payment of Salaries | | ₦30,000 | What is the company's net income for the month?
A. ₦20,000
B. ₦30,000
C. ₦40,000
D. ₦50,000
Question 11
A company's balance sheet as at 31st December 2022 is as follows: | Assets | ₦ | Liabilities | ₦ | Equity | ₦ | | --- | --- | --- | --- | --- | --- | | Cash | 10,000 | Debentures | 50,000 | Share Capital | 100,000 | | Bank | 20,000 | Loans | 30,000 | Profit | 20,000 | | Investments | 40,000 | | | | | | | | | | | | What is the total amount of the company's equity?
A. ₦150,000
B. ₦170,000
C. ₦190,000
D. ₦210,000
Question 12
A partnership has two partners, A and B. Partner A has a 60% interest in the partnership and partner B has a 40% interest. If the partnership has a profit of ₦150,000, how much will partner A receive?
A. ₦90,000
B. ₦80,000
C. ₦70,000
D. ₦60,000
Question 13
A company issues 1,000 shares of ₦10 each at a premium of ₦5 per share. Calculate the total amount received from the issue of shares.
A. ₦10,000
B. ₦15,000
C. ₦20,000
D. ₦25,000
Question 14
A company's ledger accounts show the following balances: Office Equipment ₦15,000, Office Supplies ₦2,000, and Prepaid Rent ₦5,000. What is the total value of the company's assets?
A. ₦22,000
B. ₦22,500
C. ₦22,000
D. ₦22,500
Question 15
A company's cash book shows a balance of ₦150,000. However, the bank statement shows a balance of ₦120,000. The bank reconciliation statement shows a difference of ₦20,000. What is the cause of this difference?
A. Bank error
B. Company error
C. Cheque not yet cleared
D. Deposit not yet credited

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