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 191: The distributable profit available to shareholders at the end of each year is the
Options:
A) total profit and debtors balance
B) general reserve and retained profit
C) retained profit and fictitious assets
D) total profit less creditors balance
Show Answer
The correct answer is D .
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Question 192: When a purchase business is revalued, the effect is that?
Options:
A) a decrease in the value of asset has no effect on value of goodwill
B) an increase in the value of asset is treated as an increase in the value of goodwill
C) a decrease in the value of asset is treated as an decrease in the value of goodwil
D) an increase in the value of asset is treated as an decrease in the value of goodwill
Show Answer
The correct answer is D .
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Question 193: A book of account that possesses the features of both day book and ledger is
Options:
A) sales day book
B) cash book
C) purchases day book
D) returns day book
Show Answer
The correct answer is B .
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Question 194: In the balance sheet, the subscription in arrears will be?
Options:
A) ₦200
B) ₦300
C) ₦1,200
D) ₦1,300
Show Answer
The correct answer is C .
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Question 195: Which of the following is the capital reserve of a company
Options:
A) Share premium
B) Retained profit
C) Accumulated depreciation
D) Loss on forfeited shares
Show Answer
The correct answer is A .
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Question 196:
Use the information below to answer the question that follows:
Given:
| Fixed assets | ₦85,600 |
| Sales | ₦197,000 |
| Stock | ₦34,300 |
| Salaries | ₦37,000 |
| Purchases | ₦127,700 |
| Share capital | ₦120,000 |
| Creditors | ₦16,050 |
| Motor expenses | ₦10,500 |
| Debtors | ₦25,000 |
Determine the total of the trial balance.
Options:
A) ₦335,050
B) ₦333,050
C) ₦323,050
D) ₦230,550
Show Answer
The correct answer is B .
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Question 197:
Determine the year''s purchase from the following information relating to a firm.
Total creditor''s b/f N 7,200
Total cash payment to suppliers N 98,800
Total creditors c/f N 8,400
Options:
A) ₦7,200
B) ₦98,800
C) ₦100,000
D) ₦105,800
Show Answer
The correct answer is C .
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Question 198: The basis upon which assets of an organization is valued is the
Options:
A) historical concept
B) business entity concept
C) periodicity concept
D) materiality concept
Show Answer
The correct answer is A .
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Question 199:
Given:
Additional capital Capital Closing capital Net profit | ₦ 4000 8000 12000 1500 |
The drawings for the period stand at
Options:
A) 1500
B) 3000
C) 12,000
D) 10,500
Show Answer
The correct answer is A .
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Question 200:
When goods are sent to branch at cost plus mark up, it means that the branch should sell at_____________
Options:
A) Price above or below the stipulated price
B) Any price but not below the transfer price
C) Cost price
D) A price that is equal to the mark up
Show Answer
The correct answer is A .