POST UTME REDEEMERS UNIVERSITY 2023 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
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. Prepare the journal entry to record the issue of shares and debentures.
A. Debit Cash 30,000, Credit Share Capital 30,000, Debit Debenture Liability 500,000
B. Debit Cash 30,000, Credit Share Capital 30,000, Credit Debenture Liability 500,000
C. Debit Cash 30,000, Credit Share Capital 30,000, Debit Debenture Liability 500,000
D. Debit Cash 30,000, Credit Share Capital 30,000, Credit Cash 500,000
Question 2
A company's balance sheet as at December 31, 2022, showed the following balances:
A. ₦100,000
B. ₦200,000
C. ₦300,000
D. ₦400,000
Question 3
A company's cash book shows the following transactions: Cash Sales ₦50,000, Cash Purchases ₦30,000, Cash Received from Customers ₦20,000. What is the correct balance of the company's cash account?
A. ₦40,000
B. ₦50,000
C. ₦60,000
D. ₦70,000
Question 4
A company's balance sheet showed the following balances: Current Assets ₦200,000, Non-Current Assets ₦300,000. Calculate the total assets.
A. ₦500,000
B. ₦600,000
C. ₦700,000
D. ₦800,000
Question 5
A company has a self-balancing ledger with the following accounts: Cash 10,000, Accounts Payable 5,000, and Common Stock 20,000. Prepare the ledger accounts.
A. Cash 10,000, Accounts Payable 5,000, Common Stock 20,000
B. Cash 10,000, Accounts Payable 5,000, Common Stock 15,000
C. Cash 10,000, Accounts Payable 5,000, Common Stock 25,000
D. Cash 10,000, Accounts Payable 5,000, Common Stock 30,000
Question 6
A manufacturing company produces 100 units of a product per day. Each unit costs ₦500 to produce. If the company operates for 20 days in a month, what is the total production cost for the month?
A. ₦1,000,000
B. ₦1,050,000
C. ₦1,100,000
D. ₦1,200,000
Question 7
A partnership has two partners, A and B. The capital accounts of A and B are 50,000 and 30,000 respectively. The profit-sharing ratio is 3:2. Calculate the profit-sharing ratio in terms of the capital accounts.
A. 3:2
B. 2:3
C. 1:1
D. 4:3
Question 8
A manufacturing company produces two products, X and Y. Product X requires 2 hours of labor and 3 units of raw material, while product Y requires 3 hours of labor and 2 units of raw material. If the company has 120 hours of labor and 180 units of raw material available, how many units of product X and product Y should be produced to maximize profit?
A. 10 units of X and 15 units of Y
B. 12 units of X and 18 units of Y
C. 15 units of X and 20 units of Y
D. 18 units of X and 22 units of Y
Question 9
A company uses the self-balancing ledger system to record transactions. The following ledger account is available: Debit 1,000, Credit 1,000. What is the effect of this transaction on the accounting equation?
A. Increases assets and liabilities
B. Decreases assets and increases liabilities
C. Increases liabilities and decreases equity
D. Increases assets and decreases liabilities
Question 10
A company's profit and loss account as at December 31, 2022, showed the following balances:
A. ₦50,000
B. ₦60,000
C. ₦70,000
D. ₦80,000
Question 11
A company's cash book showed the following transactions:
A. ₦10,000
B. ₦20,000
C. ₦30,000
D. ₦40,000
Question 12
A manufacturing company produces two products, X and Y. Product X requires 2 hours of labor and 3 units of raw material, while product Y requires 3 hours of labor and 2 units of raw material. If the company has 120 hours of labor and 180 units of raw material available, how many units of product X and product Y should be produced to maximize profit?
A. 10 units of X and 15 units of Y
B. 12 units of X and 18 units of Y
C. 15 units of X and 20 units of Y
D. 18 units of X and 22 units of Y
Question 13
A company's assets are valued at ₦500,000. The company depreciates its assets by 10% per annum. What is the value of the assets after 2 years?
A. ₦420,000
B. ₦450,000
C. ₦480,000
D. ₦510,000
Question 14
A company's trial balance shows the following balances: Accounts Payable ₦50,000, Accounts Receivable ₦30,000, Sales Revenue ₦100,000, Cost of Goods Sold ₦60,000. What is the correct balance of the company's net income?
A. ₦40,000
B. ₦30,000
C. ₦20,000
D. ₦10,000
Question 15
A company's profit and loss account showed the following balances: Cost of Goods Sold ₦150,000, Gross Profit ₦50,000. Calculate the operating expenses.
A. ₦100,000
B. ₦120,000
C. ₦150,000
D. ₦180,000

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