POST UTME VERITAS UNIVERSITY 2023 Accounting | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company has the following transactions: Purchased office supplies for 1,000, Paid rent for 2,000, and Sold merchandise for 5,000. What is the net income of the company for the period?
A. 2,000
B. 3,000
C. 4,000
D. 5,000
Question 2
A company issues 10,000 shares of ₦1 each at a premium of ₦0.50 per share. What is the total amount received from the issue of shares?
A. ₦5,500
B. ₦5,500.00
C. ₦5,500.00
D. ₦5,500.00
Question 3
A company's profit and loss account shows a net loss of ₦100,000. The balance on the capital account is ₦250,000. What is the balance on the drawing account?
A. ₦30,000
B. ₦40,000
C. ₦50,000
D. ₦60,000
Question 4
A company issues 1,000 shares of common stock at a price of 10 per share. What is the total amount received from the issuance of common stock?
A. 10,000
B. 20,000
C. 30,000
D. 40,000
Question 5
A company has a manufacturing department that produces 500 units of a product. The cost of raw materials is ₦30 per unit, labor costs are ₦15 per unit, and overhead costs are ₦8 per unit. If the selling price is ₦60 per unit, what is the gross profit?
A. ₦15,000
B. ₦20,000
C. ₦25,000
D. ₦30,000
Question 6
A company issued 10,000 debentures of ₦100 each at a premium of ₦0.50 per debenture. Calculate the total amount received from the issue of debentures.
A. ₡0,500,000
B. ₡0,000,000
C. ₡0,500,000
D. ₡0,000,000
Question 7
A company has two departments: Manufacturing and Sales. The Manufacturing department has a balance of ₦120,000 in its control account, while the Sales department has a balance of ₦80,000. If the company's total assets are ₦500,000 and its total liabilities are ₦200,000, what is the balance in the Sales department's control account after adjusting for the difference between the Manufacturing and Sales departments?
A. ₦60,000
B. ₦80,000
C. ₦100,000
D. ₦120,000
Question 8
A company's trial balance shows a debit balance of ₦15,000 in the 'Rent Expense' account. However, the company's accounting records show that the rent expense for the year was actually ₦20,000. What is the correct journal entry to record the correction?
A. Debit Rent Expense ₦5,000, Credit Cash ₦5,000
B. Debit Rent Expense ₦5,000, Credit Rent Payable ₦5,000
C. Debit Rent Expense ₦5,000, Credit Rent Expense ₦5,000
D. Debit Rent Expense ₦5,000, Credit Cash ₦5,000
Question 9
A company uses the double-entry system to record its transactions. The company's trial balance shows the following balances: Accounts Payable 10,000, Accounts Receivable 5,000, Common Stock 50,000, Dividends 2,000, and Retained Earnings 30,000. What is the net income of the company for the year?
A. 15,000
B. 20,000
C. 25,000
D. 30,000
Question 10
A company has a cash book that shows a balance of ₦150,000. The company's bank statement shows a balance of ₦180,000. If the company's cash book has a debit balance of ₦10,000, what is the amount of the bank reconciliation?
A. ₦30,000
B. ₦35,000
C. ₦40,000
D. ₦45,000
Question 11
A partnership has two partners, A and B. The partnership agreement states that profits and losses are to be shared in the ratio 3:2. If the partnership makes a profit of ₦120,000, how much will each partner receive?
A. Partner A: ₦90,000, Partner B: ₦30,000
B. Partner A: ₦60,000, Partner B: ₦60,000
C. Partner A: ₦90,000, Partner B: ₦30,000
D. Partner A: ₦60,000, Partner B: ₦60,000
Question 12
A company's balance sheet shows a current asset of ₦100,000 and a current liability of ₦80,000. What is the company's working capital?
A. ₦20,000
B. ₦80,000
C. ₦100,000
D. ₦120,000
Question 13
A company has a manufacturing department that produces 1,000 units of a product. The cost of raw materials is ₦50 per unit, labor costs are ₦20 per unit, and overhead costs are ₦10 per unit. If the selling price is ₦80 per unit, what is the gross profit?
A. ₦30,000
B. ₦40,000
C. ₦50,000
D. ₦60,000
Question 14
A company's profit and loss account for the year ended 31st December 2022, showed a profit of ₦0,000. The company's balance sheet also showed a decrease in stock of ₦0,500. Calculate the company's net profit for the year.
A. ₦0,500
B. ₦0,000
C. ₦0,500
D. ₦0,000
Question 15
A company's manufacturing account shows the following transactions: | Date | Particulars | Debit | Credit | | --- | --- | --- | --- | | 1 | Raw Materials | ₦10,000 | | | 2 | Labour | ₦5,000 | | | 3 | Factory Overheads | ₦8,000 | | | 4 | Work-in-Progress | | ₦23,000 | What is the total cost of production?
A. ₦23,000
B. ₦23,000.00
C. ₦23,000.00
D. ₦23,000.00

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