Practice post utme uniosun accounting 2022 Past Questions

Question 1

A company uses the double entry system to record its transactions. The journal entry for the purchase of a machine for ₦120,000 cash is:

A. Debit Machine ₦120,000, Credit Cash ₦120,000

Correct B. Debit Cash ₦120,000, Credit Machine ₦120,000

C. Debit Machine ₦120,000, Credit Bank ₦120,000

D. Debit Bank ₦120,000, Credit Machine ₦120,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 2

A company's assets are valued at ₦1,500,000. The company depreciates its assets by 10% per annum. What is the value of the assets after 2 years?

Correct A. ₦1,215,000

B. ₦1,350,000

C. ₦1,500,000

D. ₦1,650,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 3

A company's profit is calculated as follows: Revenue - Cost of Goods Sold - Operating Expenses. If the company's revenue is ₦1,000,000, cost of goods sold is ₦600,000, and operating expenses are ₦150,000, what is the company's profit?

Correct A. ₦250,000

B. ₦200,000

C. ₦150,000

D. ₦100,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 4

A company's manufacturing account shows the following: Direct Materials ₦300,000, Direct Labour ₦200,000, Factory Overheads ₦150,000. What is the total cost of production?

A. ₦650,000

B. ₦700,000

Correct C. ₦750,000

D. ₦800,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 5

A company's single entry system shows the following: Cash ₦100,000, Bank ₦50,000, Creditors ₦30,000. What is the total amount of assets?

A. ₦180,000

B. ₦200,000

Correct C. ₦220,000

D. ₦240,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 6

A company issues 10,000 shares of ₦1 each at a premium of ₦0.50 per share. Calculate the total amount received from the issue of shares.

A. ₦0,500

B. ₦1,000

Correct C. ₦1,050

D. ₦1,500

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 7

A manufacturing company has the following departmental expenses for the year: Selling Expenses: ₦0,000 Administration Expenses: ₦0,500 Depreciation: ₦1,000 Calculate the total departmental expenses.

A. ₡2,500

B. ₡3,000

Correct C. ₡3,500

D. ₡4,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 8

A company has the following transactions for the year: Purchased goods for ₦0,000. Sold goods for ₦1,500. Purchased office equipment for ₦1,000. Sold office equipment for ₦0,000. Calculate the net profit or loss for the year.

A. ₡0,000

B. ₡1,000

Correct C. ₡2,000

D. ₡3,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 9

A company has the following balance sheet as at 31st December: Assets: Cash: ₦0,000 Debtors: ₦0,500 Stock: ₦1,000 Total Assets: ₡2,500 Liabilities: Creditors: ₦0,000 Capital: ₦0,500 Total Liabilities: ₡0,500 Calculate the net worth of the company.

A. ₡0,000

B. ₡1,000

Correct C. ₡2,000

D. ₡3,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 10

A company has the following transactions for the year: Issued 10,000 shares of ₦ each at a premium of ₦0.50 per share. Purchased office equipment for ₦1,000. Sold office equipment for ₦0,000. Calculate the total amount received from the issue of shares.

A. ₦1,000

Correct B. ₦1,050

C. ₦1,500

D. ₦2,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 11

A company uses the cash book to record all its financial transactions. The cash book shows a balance of ₦150,000 on December 31, 2022. However, the bank statement shows a balance of ₦120,000 on the same date. What is the most likely reason for the difference?

Correct A. The company has outstanding checks that have not been cleared by the bank.

B. The company has deposited cash into the bank that has not been recorded in the cash book.

C. The company has recorded a sale in the cash book that has not been recorded in the bank statement.

D. The company has made an error in recording a transaction in the cash book.

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 12

A company prepares a trial balance on December 31, 2022. The trial balance shows a debit balance of ₦50,000 in the account 'Office Supplies.' However, the company's records show that the office supplies account has a credit balance of ₦20,000. What is the most likely reason for the difference?

A. The company has recorded a sale in the office supplies account that has not been recorded in the trial balance.

B. The company has recorded a purchase in the office supplies account that has not been recorded in the trial balance.

Correct C. The company has made an error in recording a transaction in the office supplies account.

D. The company has outstanding office supplies that have not been recorded in the trial balance.

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 13

A government agency uses the accrual basis of accounting to record its transactions. The agency has a revenue of ₦1,000,000 and an expense of ₦800,000 for the year ended December 31, 2022. What is the net income of the agency for the year?

Correct A. ₦200,000

B. ₦300,000

C. ₦400,000

D. ₦500,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 14

A company uses the straight-line method of depreciation to depreciate its assets. The company has a machine that cost ₦500,000 and has a useful life of 5 years. What is the annual depreciation expense of the machine?

Correct A. ₦100,000

B. ₦80,000

C. ₦60,000

D. ₦40,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 15

A company uses the self-balancing ledger system to record its transactions. The company has a cash account that shows a balance of ₦100,000. The company also has a bank account that shows a balance of ₦80,000. What is the total balance of the company's cash and bank accounts?

Correct A. ₦180,000

B. ₦200,000

C. ₦220,000

D. ₦240,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 16

A company uses the cash book to record its financial transactions. The cash book shows a balance of ₦150,000 on December 31, 2022. However, the bank statement shows a balance of ₦120,000 on the same date. What is the most likely reason for the difference?

Correct A. The company has outstanding checks that have not been cleared by the bank.

B. The company has deposited cash into the bank that has not been recorded in the cash book.

C. The company has recorded a sale in the cash book that has not been recorded in the bank statement.

D. The company has made an error in recording a transaction in the cash book.

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 17

A company prepares a trial balance on December 31, 2022. The trial balance shows a debit balance of ₦50,000 in the account 'Office Supplies.' However, the company's records show that the office supplies account has a credit balance of ₦20,000. What is the most likely reason for the difference?

A. The company has recorded a sale in the office supplies account that has not been recorded in the trial balance.

B. The company has recorded a purchase in the office supplies account that has not been recorded in the trial balance.

Correct C. The company has made an error in recording a transaction in the office supplies account.

D. The company has outstanding office supplies that have not been recorded in the trial balance.

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 18

A government agency uses the accrual basis of accounting to record its transactions. The agency has a revenue of ₦1,000,000 and an expense of ₦800,000 for the year ended December 31, 2022. What is the net income of the agency for the year?

A. ₦200,000

B. ₦300,000

C. ₦400,000

D. ₦500,000

Correct Answer: VIEW ANSWER

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 19

A company uses the double-entry system of accounting. The trial balance of the company shows the following balances: Accounts Payable: ₦50,000, Sales Revenue: ₦150,000, Cost of Goods Sold: ₦80,000, and Common Stock: ₦100,000. What is the total amount of assets on the balance sheet?

A. ₦230,000

Correct B. ₦250,000

C. ₦270,000

D. ₦290,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 20

A manufacturing company uses a job order costing system. The company has the following costs: direct materials: ₦50,000, direct labor: ₦30,000, and overhead: ₦20,000. What is the total cost of production?

A. ₦100,000

B. ₦110,000

Correct C. ₦120,000

D. ₦130,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 21

A company uses the straight-line method of depreciation. The company purchases a machine for ₦100,000 and uses it for 5 years. What is the annual depreciation expense?

A. ₦20,000

B. ₦25,000

Correct C. ₦30,000

D. ₦35,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 22

A company uses the allowance method of accounting for bad debts. The company estimates that 5% of its accounts receivable will become bad debts. If the company has accounts receivable of ₦500,000, what is the estimated bad debt expense?

A. ₦25,000

Correct B. ₦25,500

C. ₦26,000

D. ₦26,500

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 23

A company uses the FIFO method of inventory valuation. The company purchases 100 units of inventory at ₦50 each and 50 units at ₦60 each. If the company sells 120 units, what is the cost of goods sold?

A. ₦6,000

B. ₦6,500

Correct C. ₦7,000

D. ₦7,500

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 24

A company uses the weighted average method of inventory valuation. The company purchases 100 units of inventory at ₦50 each and 50 units at ₦60 each. If the company sells 120 units, what is the cost of goods sold?

A. ₦6,000

B. ₦6,500

Correct C. ₦7,000

D. ₦7,500

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Question 25

A company uses the LIFO method of inventory valuation. The company purchases 100 units of inventory at ₦50 each and 50 units at ₦60 each. If the company sells 120 units, what is the cost of goods sold?

A. ₦6,000

B. ₦6,500

Correct C. ₦7,000

D. ₦7,500

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

POST UTME UNIOSUN 2022 Accounting | Objective

Master the Exam!

Help others prepare! Share this practice hub: