Financial Accounting — 2008

Which of the following is the basis accounting equation?

A sales Day book is used for recording

An analytical cash book is used to

Which of the following concepts is exposed to hold when a proprietor makes a drawing of goods or cash from the business?

In a partnership business, the net profit serves as opening figure for

Which of the following is the effect of an increase in the provision for discount allowed?

In the preparation of manufacturing accounts, prime cost plus factory overheads equal to cost of

Returns inwards is also called

Tale LTd. has 100,000 ordinary shares of ₦1 each and 60,000 5% preference shares of ₦1 each. Both were fully paid as shown below, \(\begin{array}{c|c} & ₦\\ \text{Profit and loss appropriation b/f} & 10,000\\ \text{Net profit for the year} & 6,000\\ \text{Proposed dividend on ordinary shares} & 4,000\\ \text{Interim dividend} & 6,000\\ \text{Goodwill written off} \\ 600\end{array}\) The balance of the profit and loss appropriation account as at the end of the year was

Tale LTd. has 100,000 ordinary shares of ₦1 each and 60,000 5% preference shares of ₦1 each. Both were fully paid as shown below, \(\begin{array}{c|c} & ₦\\ \text{Profit and loss appropriation b/f} & 10,000\\ \text{Net profit for the year} & 6,000\\ \text{Proposed dividend on ordinary shares} & 4,000\\ \text{Interim dividend} & 6,000\\ \text{Goodwill written off} \\ 600\end{array}\) The authorized capital of Tale Ltd is

Which of the following is not a characteristic of a computer?

Tale LTd. has 100,000 ordinary shares of ₦1 each and 60,000 5% preference shares of ₦1 each. Both were fully paid as shown below, \(\begin{array}{c|c} & ₦\\ \text{Profit and loss appropriation b/f} & 10,000\\ \text{Net profit for the year} & 6,000\\ \text{Proposed dividend on ordinary shares} & 4,000\\ \text{Interim dividend} & 6,000\\ \text{Goodwill written off} \\ 600\end{array}\) The dividend payable to preference shareholders is

Final accounts of a not-for-profit making organization is made up of

Which of the following is a debit entry in debtors control account?

Which of the following is not a debit item in a partnership appropriation account?

Use the following information \(\begin{array}{c|c} & ₦ \\\hline \text{Opening capital} & 60,000 \\ \text{Drawings} & 4,000\\ \text{Cost of sales} & 50,000\\ \text{General expenses} & 7,000 \\ \text{Mark-up} & \text{50%} \end{array}\) Net profit is

Use the following information \(\begin{array}{c|c} & ₦\\ \hline\text{Opening capital} & 60,000\\ \text{Drawings} & 4,000\\ \text{Cost of sales} & 50,000\\ \text{General expenses} & 7,000 \\ \text{Mark-up} & \text{50%} \end{array}\) Closing capital is

Which of the following is not a debit item in partners appropriation account?

The difference between factory cost of goods produced and its market value is

Which of the following is not an item in the appropriation account of a company?

The purchase of furniture, an asset to the company was debited to purchases account. This is an error of

Which of the following terms is not used to describe the total amount stated in the memorandum of association approved by the registrar of companies?

A cash payment of ₦85 to Regina was entered in the books as ₦58. The entries to correct the error are: debit

Use the following information, \(\begin{array}{c|c} & Le\\ \hline \text{Sales} & 183,400 \\ \text{Purchases} & 168000\\ \text{Opening stock} & 20,100\\ \text{Closing stock} & 48,800 \\ \text{Carriage outwards} & 2400\\ \text{Carriage inwards} & 5,000\\ \text{Returns inwards} & 10,000\\ \text{Expenses} & 15,000\\ \text{Returns outwards} & 8,000\end{array}\) The gross profit is

Use the following information, \(\begin{array}{c|c} & Le\\ \hline \text{Sales} & 183,400 \\ \text{Purchases} & 168000\\ \text{Opening stock} & 20,100\\ \text{Closing stock} & 48,800 \\ \text{Carriage outwards} & 2400\\ \text{Carriage inwards} & 5,000\\ \text{Returns inwards} & 10,000\\ \text{Expenses} & 15,000\\ \text{Returns outwards} & 8,000\end{array}\) The net profit is

Use the following information, \(\begin{array}{c|c} & Le\\ \hline \text{Sales} & 183,400 \\ \text{Purchases} & 168000\\ \text{Opening stock} & 20,100\\ \text{Closing stock} & 48,800 \\ \text{Carriage outwards} & 2400\\ \text{Carriage inwards} & 5,000\\ \text{Returns inwards} & 10,000\\ \text{Expenses} & 15,000\\ \text{Returns outwards} & 8,000\end{array}\) The cost of goods sold is

The class of shares to which payment of dividend depends on profit is

Payment for shares in installments is done by means of

Mark-up on goods sent to branch are recorded in the books by crediting

Which of the following s not part of cost of production?

Which of the following is not a subsidiary book?

Use the following information, \(\begin{array}{c|c} & D\\ \hline \text{Construction of classrooms} & 500,000\\ \text{Sinking of boreholes} & 100,000\\ \text{Staff salaries} & 150,000\\ \text{Electricity} & 14,000 \\ \text{Transport and travels} & 7000\\ \text{office expenses} & 9,000 \end{array}\) Recurrent expenditure is

Use the following information, \(\begin{array}{c|c} & D\\ \hline \text{Construction of classrooms} & 500,000\\ \text{Sinking of boreholes} & 100,000\\ \text{Staff salaries} & 150,000\\ \text{Electricity} & 14,000 \\ \text{Transport and travels} & 7000\\ \text{office expenses} & 9,000 \end{array}\) Capital expenditure is

In bank reconciliation, when a cash book shows a credit balance, uncredited cheques are i. deducted from the cash book balance. ii. added to the bank statement balance. iii. added to the cash book balance

When provision is made for doubtful doubt, the accounting entries are

An approach for discovering missing figures in incomplete records is the use of

A merchant paid ₦180,000 on rent for 18 months bu charged ₦120,000 to profit and loss account for the year. The concept applied is

Which of the following is an advantage of the imprest system?

Henik Plc has departments A and B and has made the following information available concerning its operations; \(\begin{array}{c|c} & \text{Departmental A} & \text{Departmental B} \\ \hline \text{Turn over} & ₦100,00 & ₦80,000\\ \text{Commission} & ₦3,600 & & \\ \text{Rent} & ₦6,000 & & \\ \text{Flor space} & & 200m^2 & 100m^2 \end{array}\) How much commission was apportioned to Department a?

Henik Plc has departments A and B and has made the following information available concerning its operations; \(\begin{array}{c|c} & \text{Departmental A} & \text{Departmental B} \\ \hline \text{Turn over} & ₦100,00 & ₦80,000\\ \text{Commission} & ₦3,600 & & \\ \text{Rent} & ₦6,000 & & \\ \text{Flor space}& & 200m^2 & 100m^2 \end{array}\) Rent apportioned to Department B is

The entries to record goods bought for cash are: debit

Carriage inwards is posted to

Repairs to air conditioners was debited to office equipment account. This is an error of

The practice of identifying with one constant approach where a number of approach exist for solving an accounting problem is the convention of

Which of the following is a storage device?

Trade creditors personal accounts are found in the

Which of the following is a norminal account?

Which of the following is not an instrument for controlling public expenditure?

Use the following to answer the given question \(\begin{array}{c|c} & ₦\\ \hline \text{Opening debtors} & 40,000\\ \text{Opening creditors} & 30,000 \\ \text{Credit sales} & 100,000\\ \text{Credit purchases} & 80,000 \\ \text{Bad debts}& 5,500\\ \text{Set-offs} & 65,500\end{array}\) Closing debtors figure is

Use the following to answer the given question \(\begin{array}{c|c} & ₦\\ \hline \text{Opening debtors} & 40,000\\ \text{Opening creditors} & 30,000 \\ \text{Credit sales} & 100,000\\ \text{Credit purchases} & 80,000 \\ \text{Bad debts}& 5,500\\ \text{Set-offs} & 65,500\end{array}\) Closing creditors figure is