Accounts, also called Principles of Accounts by some exam boards, focuses on the organized and thorough recording of a business's financial transactions.
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Question 111: Which of the following is accounted for in receipts and payment account
Options:
A) Subscriptions recieved in advance
B) Subscriptions due not yet recieved
C) Accrued expenses on annual dances
D) Depreciation of the club house
Show Answer
The correct answer is A .
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Question 112: A machine bought for #35,000 was estimated to have a life span of 5 years with a scrap value of #9,000.If the scrap value is presently #15,000 what will be the yearly depreciation using straight line method?
Options:
A) #4,000
B) #7,000
C) #11,000
D) #24,000
Show Answer
The correct answer is A .
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Question 113:
| Receipts and Payments Account |
| | ₦ | | ₦ |
| Bal. b/f | 1,000 | Salaries | 5,000 |
| Donations | 5,000 | Secretariat expenses | 5,000 |
| Subscriptions | 7,000 | Dance expenses | 5,000 |
| Sales of refreshments | 11,000 | Refreshments | 15,000 |
| Entertainment | 21,000 | Bal. c/d | 15,000 |
| | 45,000 | | 45,000 |
Given:
Calculate the surplus income.
Options:
A) ₦45 000
B) ₦44 000
C) ₦30 000
D) ₦14 000
Show Answer
The correct answer is D .
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Question 114:
Which of the following is not an inventory costing method?
Options:
A) FIFO
B) LIFO
C) Average cost method
D) LILA
Show Answer
The correct answer is D .
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Question 115:
Use the information below to answer the question:
Turnover...........................₦120 000
Net profit before tax..............₦40 000
Net profit b/f.....................₦68 000
Proposed dividends:
Ordinary shares....................₦8 000
Preference shares..................₦6 000
Corporate tax is 30%...............₦10 000
What is the tax charged to the profit and loss account?
Options:
A) ₦14 000
B) ₦60 000
C) ₦34 000
D) ₦20 000
Show Answer
The correct answer is D .
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Question 116: Use the following information to answer this question.Club building 400,000Subscription prepaid 3,000Sport kits 150,000Bar creditors 85,000Subscription owing 32,000What is the club’s accumulated fund?
Options:
A) ₦699, 000
B) ₦641, 000
C) ₦402, 000
D) ₦605, 000
Show Answer
The correct answer is A .
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Question 117:
Gbagada Social Club.
Receipt and Payments Account for the year 1993| Description | Amount (₦) | Description | Amount (₦) |
|---|
| Balance b/d | 720 | Rent | 180 |
| Subscriptions | 14,300 | Furniture | 3,500 |
| Proceed from raffle draws | 2,000 | Rate | 580 |
| | | Stationery | 120 |
| | | Welfare expenses | 1,000 |
| | | Raffle prize | 950 |
| Total | 17,020 | Balance c/d | 10,690 |
| | | Total | 17,020 |
Additional information:
| | 1:1:93 | 31:12:93 |
| | ₦ | ₦ |
| Subscription in arrears | 300 | 450 |
| Furniture | 7,000 | |
| Subscription received in advance | 500 | 400 |
| Rate owing | 50 | 60 |
Subscription relating to the accounting year 1993 in the income and expenditure account is
Options:
A) ₦15 050
B) ₦14 050
C) ₦14 300
D) ₦13 400
Show Answer
The correct answer is B .
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Question 118: Sule and Ahmad are in partnership sharing profits and losses equally. If Khadija is admitted as new partner tot take 1/5 as her share, what is the new partner to take 1/5th as share, what is the new profit or loss sharing ratio?
Options:
A) Sule 1/3, Ahmad 1/3 and Khadija 1/3
B) Sule 1/5, Ahmad 15 and Khadija 3/5
C) Sule 2/5, Ahmad 2/5 and Khadija 1/5
D) Sule 2/5, Ahmad 1/5 and Khadija 2/5
Show Answer
The correct answer is C .
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Question 119:
One of the options below is not the source of income for non - profit organization
Options:
A) ordinary shares
B) donations
C) subscription/dues
D) entrance fees
Show Answer
The correct answer is C .
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Question 120:
| Receipts and Payments Account |
| | ₦ | | ₦ |
| Balance b/d | ? | Rent and rates | 30 000 |
| Subscriptions received | ? | General expenses | 10 000 |
| Gate-fee collections | 50 000 | Electricity | 20 000 |
| | | Insurance | 150 000 |
| | ? | Balance c/d | ? |
The subscriptions received represent 80% of total payments and the opening balance is 30% of gate-fee collections.
The subscriptions received would be
Options:
A) ₦200 000
B) ₦240 000
C) ₦300 000
D) ₦24 000
Show Answer
The correct answer is B .