POST UTME UNN 2018 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company's cash book shows a debit balance of ₦20,000 in the cash account. However, the company's bank statement shows a credit balance of ₦15,000. What is the reason for this discrepancy?
A. Bank error
B. Cash book error
C. Both bank and cash book errors
D. Neither bank nor cash book errors
Question 2
A company uses the single-entry system of accounting. The company's journal shows the following transactions: Debit: ₦50,000, Credit: ₦60,000. What is the correct entry in the ledger?
A. Debit: ₦50,000, Credit: ₦60,000.
B. Debit: ₦60,000, Credit: ₦50,000.
C. Debit: ₦50,000, Credit: ₦50,000.
D. Debit: ₦60,000, Credit: ₦60,000.
Question 3
A public sector organization has the following transactions for the year: Debit: Salaries ₦ 500,000, Rent ₦ 200,000, Depreciation ₦ 100,000 Credit: Sales ₦ 1,000,000, Purchases ₦ 800,000, Capital ₦ 50,000 What is the net profit of the organization?
A. ₦ 150,000
B. ₦ 200,000
C. ₦ 250,000
D. ₦ 300,000
Question 4
A company's bank reconciliation statement showed a difference of £ 1,000 between the bank statement balance and the company's ledger balance. The company's ledger balance was £ 10,000. What is the bank statement balance?
A. £ 11,000
B. £ 9,000
C. £ 11,000
D. £ 9,000
Question 5
A company's trial balance showed the following balances: Accounts Payable £ 10,000, Accounts Receivable £ 5,000, Sales £ 20,000, Cost of Goods Sold £ 15,000. Prepare the income statement.
A. Sales £ 20,000, Cost of Goods Sold £ 15,000, Net Income £ 5,000
B. Sales £ 20,000, Cost of Goods Sold £ 15,000, Net Income £ 5,000
C. Sales £ 20,000, Cost of Goods Sold £ 15,000, Net Income £ 5,000
D. Sales £ 20,000, Cost of Goods Sold £ 15,000, Net Income £ 5,000
Question 6
A company's cash book shows a debit balance of ₦120,000. The bank statement shows a credit balance of ₦150,000. The difference between the two balances is due to a bank overdraft of ₦30,000. What is the correct journal entry to record the bank overdraft?
A. ₦30,000 Bank Overdraft
B. ₦30,000 Cash at Bank
C. ₦30,000 Bank Overdraft (₦30,000)
D. ₦30,000 Bank Overdraft (₦30,000) - ₦30,000 Cash at Bank
Question 7
A firm has the following ledger balances: Cash ₦50,000, Accounts Payable ₦20,000, Common Stock ₦100,000. What is the total equity of the firm?
A. ₦120,000
B. ₦170,000
C. ₦220,000
D. ₦270,000
Question 8
A company has the following balance sheet: Assets: Cash ₦ 100,000, Accounts Payable ₦ 50,000, Capital ₦ 150,000 Liabilities: Sales ₦ 500,000, Purchases ₦ 300,000, Rent ₦ 50,000 What is the correct formula to calculate the current ratio?
A. Current Ratio = (Current Assets / Current Liabilities)
B. Current Ratio = (Current Assets / Total Assets)
C. Current Ratio = (Total Liabilities / Current Liabilities)
D. Current Ratio = (Current Assets / Total Liabilities)
Question 9
A partnership is formed between two individuals, A and B, with a capital contribution of ₦100,000 and ₦80,000 respectively. The partnership agreement states that the profits and losses will be shared in the ratio 3:2. What is the ratio of A's and B's capital contribution to their respective share of profits?
A. 3:2
B. 2:3
C. 4:3
D. 3:4
Question 10
A company's trial balance showed the following balances: Accounts Payable £ 10,000, Accounts Receivable £ 5,000, Sales £ 20,000, Cost of Goods Sold £ 15,000. Prepare the income statement.
A. Sales £ 20,000, Cost of Goods Sold £ 15,000, Net Income £ 5,000
B. Sales £ 20,000, Cost of Goods Sold £ 15,000, Net Income £ 5,000
C. Sales £ 20,000, Cost of Goods Sold £ 15,000, Net Income £ 5,000
D. Sales £ 20,000, Cost of Goods Sold £ 15,000, Net Income £ 5,000
Question 11
A partnership is formed between two individuals, A and B, with a capital contribution of ₦200,000 and ₦300,000, respectively. After one year, the partnership shows a profit of ₦100,000. How will the profit be divided between A and B?
A. ₦60,000 to A and ₦40,000 to B.
B. ₦50,000 to A and ₦50,000 to B.
C. ₦40,000 to A and ₦60,000 to B.
D. ₦30,000 to A and ₦70,000 to B.
Question 12
A company issued 10,000 shares of £ 1 each at a premium of £ 0.50 per share. The issue expenses were £ 10,000. Prepare the journal entry for the issue of shares.
A. Debit Share Capital £ 10,000, Credit Share Premium £ 5,000, Credit Issue Expenses £ 10,000
B. Debit Share Capital £ 10,000, Credit Share Premium £ 10,000, Credit Issue Expenses £ 10,000
C. Debit Share Capital £ 10,000, Credit Share Premium £ 5,000, Credit Cash £ 10,000
D. Debit Share Capital £ 10,000, Credit Share Premium £ 10,000, Credit Cash £ 5,000
Question 13
A manufacturing company produces two products, X and Y. The production costs for X are ₦100,000 and for Y are ₦120,000. The selling price for X is ₦150,000 and for Y is ₦180,000. What is the contribution margin for each product?
A. ₦50,000 for X and ₦60,000 for Y.
B. ₦60,000 for X and ₦50,000 for Y.
C. ₦70,000 for X and ₦80,000 for Y.
D. ₦80,000 for X and ₦70,000 for Y.
Question 14
A company uses the job order costing method to assign costs to jobs. The company has two jobs: Job A and Job B. Job A has a total cost of ₦50,000 and 5,000 direct labor hours, while Job B has a total cost of ₦30,000 and 3,000 direct labor hours. What is the direct labor cost per hour for Job A?
A. ₦10
B. ₦12
C. ₦15
D. ₦18
Question 15
A company's trial balance shows the following accounts: Cash ₦50,000, Accounts Payable ₦20,000, and Common Stock ₦100,000. What is the company's total assets?
A. ₦120,000
B. ₦150,000
C. ₦170,000
D. ₦200,000

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