Financial Accounting Past Questions v31 (JAMB/WAEC/NECO)

Financial Accounting Past Questions v31 (JAMB/WAEC/NECO); These Financial Accounting questions are for students who are sitting for the following examinations:

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Financial Accounting Past Questions v31 (JAMB/WAEC/NECO)

Results

#1. Transactions are recorded or posted to the ledger in line with

A) Accounting Concept

A) Accounting Concept

B) Source document

B) Source document

C) Double Entry Principle

C) Double Entry Principle

D) Data collection

D) Data collection

#2. Show how the following transaction will be recorded applying the double entry principle: Rent ₦50,000 was paid by Mr. Roi to his landlord on 1st July, 20 × 7 by cheque

A) Dr Rent A/c; Dr Bank A/c

A) Dr Rent A/c; Dr Bank A/c

B) Dr Bank A/c; Cr Rent A/c

B) Dr Bank A/c; Cr Rent A/c

C) Dr Rent A/c; Cr Bank A/c

C) Dr Rent A/c; Cr Bank A/c

D) Dr Rent A/c; Cr Mr. Roi

D) Dr Rent A/c; Cr Mr. Roi

#3. A statement in a double entry system in which are recorded all the transactions of one specific class, which takes place during the period is called

A) Double entry system

A) Double entry system

B) Ledger

B) Ledger

C) Cash Book

C) Cash Book

D) Petty Cash Book

D) Petty Cash Book

#4. The advantage of double entry is that

A) it is easy to prepare the final account

A) it is easy to prepare the final account

B) it increase assets

B) it increase assets

C) has cash and bank column

C) has cash and bank column

D) It disburses cash

D) It disburses cash

#5. Accounts can be classified into

A) cash and credit transactions

A) cash and credit transactions

B) cash and credit accounts

B) cash and credit accounts

C) personal and private account

C) personal and private account

D) personal and impersonal account

D) personal and impersonal account

#6. Goods were purchased for resale on credit costing ₦150,000 on 30th September 20X8 from Tosanwumi International. The entry to record these transaction is debit

A) Tosanwumi International, credit purchase Account

A) Tosanwumi International, credit purchase Account

B) Purchase Account ₦150,000, credit Tosanwumi International Account ₦150,000

B) Purchase Account ₦150,000, credit Tosanwumi International Account ₦150,000

C) Credit Account ₦150,000, Credit Tosanwumi International ₦150,000

C) Credit Account ₦150,000, Credit Tosanwumi International ₦150,000

D) Tosanwumi International ₦150,000, credit credit Account ₦150,000

D) Tosanwumi International ₦150,000, credit credit Account ₦150,000

#7. If only wages is shown on the trial balance, it should be charged to the

A) profit and loss account

A) profit and loss account

B) trading account

B) trading account

C) balance sheet

C) balance sheet

D) wages account

D) wages account

#8. Mr Ojo gives you the following information on 31st July 2017 Opening Stock 7,000 Closing Stock 12,000 Purchases 60,000 Expenses 4,500 Uniform margin of 33 1 3 % You are required to calculate the sales

A) #55,000

A) #55,000

B) #82,500

B) #82,500

C) #27,500

C) #27,500

D) #50,000

D) #50,000

#9. Use the following to answer this question. Industry ltd, issued 100,000 shares at ₦1 each out of its Authorized share capital of ₦200,000 at ₦1 each. At the of the first call, all shareholders paid in full, except for two shareholder who owes ₦20,000. The company's paid-up capital is

A) ₦70,000

A) ₦70,000

B) ₦80,000

B) ₦80,000

C) ₦220,000

C) ₦220,000

D) ₦120,000

D) ₦120,000

#10. Use the following to answer this question. Industry ltd, issued 100,000 shares at ₦1 each out of its Authorized share capital of ₦200,000 at ₦1 each. At the of the first call, all shareholders paid in full, except for two shareholder who owes ₦20,000. The Unissued capital of the company is

A) ₦310,000

A) ₦310,000

B) ₦200,000

B) ₦200,000

C) ₦210,000

C) ₦210,000

D) ₦100,000

D) ₦100,000

#11. Given: Ordinary share dividend ₦100,000, General reserve ₦4,100, Net profit b/d ₦27,370, corporation tax ₦2,500, Profit and loss ₦28,200, Interim ordinary dividend ₦4,050, Goodwill 20,50 provide for preference Dividend ₦2100 and Final ordinary Dividend of 5% and also write off Goodwill at ₦1500. The retained profit in the Appropriation account is

A) ₦55,570

A) ₦55,570

B) ₦36,320

B) ₦36,320

C) ₦50,000

C) ₦50,000

D) ₦30,000

D) ₦30,000

#12. Retained profits is an example of

A) Revenue reserve

A) Revenue reserve

B) Capital reserves

B) Capital reserves

C) General reserves

C) General reserves

D) Loan capital

D) Loan capital

#13. Use the information below to answer this question. Ojo, Sam and Ade are in partnership sharing profit in the ratio 4 : 3 : 1 respectively. Extract from their books for the year ended are Interest on drawings and capital is allowed 5% respectively and profit for the year amounted to ₦4,950 Ojo's share of profit is

A) 2475

A) 2475

B) 1322.5

B) 1322.5

C) 4950

C) 4950

D) 6000

D) 6000

#14. Use the information below to answer this question. Ojo, Sam and Ade are in partnership sharing profit in the ratio 4 : 3 : 1 respectively. Extract from their books for the year ended are Interest on drawings and capital is allowed 5% respectively and profit for the year amounted to ₦4,950 Sam's share of profit is

A) 7000

A) 7000

B) 4921

B) 4921

C) 3000

C) 3000

D) 991.8

D) 991.8

#15. The rate of interest on capital for Ade is

A) 250

A) 250

B) 200

B) 200

C) 300

C) 300

D) 400

D) 400

#16. Which of these will not appear in the preparation of control account. I. Bad debts II. Discounts III. Returns IV. Provision for bad debts

A) I only

A) I only

B) II and III

B) II and III

C) I and III only

C) I and III only

D) IV only

D) IV only

#17. Use the following Information to answer this question. Stock of finished goods: Jan 1st Dec 31st Stock of Raw materials: Jan 1st Dec 31st Purchase of Raw Materials Manufacturing Wages Depreciation: Factory equipment Direct expenses Factory Fuel Carriage inwards on Raw Materials ₦ 50,640 71,380 32,160 29,640 145,000 52,000 16,500 12,500 7,000 7,000 Cost of raw materials consumed is

A) ₦53,000

A) ₦53,000

B) ₦150,000

B) ₦150,000

C) ₦152,120

C) ₦152,120

D) ₦148,120

D) ₦148,120

#18. Use the following Information to answer this question. Stock of finished goods: Jan 1st Dec 31st Stock of Raw materials: Jan 1st Dec 31st Purchase of Raw Materials Manufacturing Wages Depreciation: Factory equipment Direct expenses Factory Fuel Carriage inwards on Raw Materials ₦ 50,640 71,380 32,160 29,640 145,000 52,000 16,500 12,500 7,000 7,000

A) 220,480

A) 220,480

B) 213,480

B) 213,480

C) 200,480

C) 200,480

D) 190,000

D) 190,000

#19. A fall or decrease in the economic service potential of an asset as a result of wear, tear and obsolescence is referred to as

A) Estimate

A) Estimate

B) Depreciation

B) Depreciation

C) Asset

C) Asset

D) Useful Life

D) Useful Life

#20. The cost of a machine is ₦10,000. The residual value is ₦4,000. It is expected to last for 4 years. Using the straight line method, what is the amount of depreciation charged per annum?

A) 6000

A) 6000

B) 1000

B) 1000

C) 1500

C) 1500

D) 2500

D) 2500

#21. Use the question to answer this questionThe following information were extracted from the books of Miliki state Sinking of bore holes Purchase of Motor car Stationery Electricity Purchase of drugs Purchase of beds ₦ 2,900,000 920,000 300,000 45,000 76,000 425,000 Recurrent expenditure is

A) ₦345,000

A) ₦345,000

B) ₦3,245,000

B) ₦3,245,000

C) ₦421,000

C) ₦421,000

D) ₦4,245,000

D) ₦4,245,000

#22. Use the question to answer this questionThe following information were extracted from the books of Miliki state Sinking of bore holes Purchase of Motor car Stationery Electricity Purchase of drugs Purchase of beds ₦ 2,900,000 920,000 300,000 45,000 76,000 425,000 Capital expenditure is

A) ₦345,000

A) ₦345,000

B) ₦3,245,000

B) ₦3,245,000

C) ₦421,000

C) ₦421,000

D) ₦4,245,000

D) ₦4,245,000

#23. Goods can be charged to branches using any of these pricing methods except

A) cost price

A) cost price

B) cost plus percentage

B) cost plus percentage

C) selling price

C) selling price

D) selling plus percentage

D) selling plus percentage

#24. Abelawo ltd operates a retail branch at Aba. All purchases are made by the head office in Onitsha and goods are charged to the branch at cost plus 50%. During the year ended. Goods sent to branch at invoiced price is ₦30,870, cash sales ₦13,020 and Bad debt amounted to 129. From the following, what is the profit?

A) 20,580

A) 20,580

B) 10,290

B) 10,290

C) 7980

C) 7980

D) 30,870

D) 30,870

#25. Every economic unit, regardless of its legal form of existence, is treated as a separate entity from parties having economic interest is

A) realisation concept

A) realisation concept

B) entity concept

B) entity concept

C) going concern concept

C) going concern concept

D) matching concept

D) matching concept

#26. The two recognised accounting bases are

A) cash and credit

A) cash and credit

B) personal and impersonal

B) personal and impersonal

C) Accrual and Cash

C) Accrual and Cash

D) Drawings and Private

D) Drawings and Private

#27. Given: Additional capital Capital Closing capital Net profit ₦ 4000 8000 12000 1500 The drawings for the period stand at

A) 1500

A) 1500

B) 3000

B) 3000

C) 12,000

C) 12,000

D) 10,500

D) 10,500

#28. The importance of bank statement is all except

A) verifies the accuracy of balances of cash book and cheque book

A) verifies the accuracy of balances of cash book and cheque book

B) helps to detect and rectify any error

B) helps to detect and rectify any error

C) helps to debit an account

C) helps to debit an account

D) helps to update the cash book

D) helps to update the cash book

#29. Accounting standards are issued at the International level by the

A) Standards Advisory Council

A) Standards Advisory Council

B) International Accounting Standards Board

B) International Accounting Standards Board

C) Nigerian Accounting Standards Board

C) Nigerian Accounting Standards Board

D) Standing Interpretations Committee

D) Standing Interpretations Committee

#30. The method of stock valuation in which the issue price is obtained by dividing the value of stock in hand by unit of stock in hand is

A) FIFO

A) FIFO

B) LIFO

B) LIFO

C) SAP

C) SAP

D) WAP

D) WAP

#31. One of these is not a similarity between Joint Venture and Partnership

A) AIM is profit making

A) AIM is profit making

B) It is for a specific venture

B) It is for a specific venture

C) Involves two people

C) Involves two people

D) have rights and duties

D) have rights and duties

#32. Majority of commercial transactions are termed credit transactions, which means

A) The buyers pay immediately for goods bought

A) The buyers pay immediately for goods bought

B) Settlement is deferred to a future date

B) Settlement is deferred to a future date

C) No account will be opened

C) No account will be opened

D) Item of expenditure increases

D) Item of expenditure increases

#33. Bought motor vehicle ₦60 paying by cheque. The effect of the transaction will be

A) Increase in assets of motor vehicle account

A) Increase in assets of motor vehicle account

B) Decrease in assets of motor vehicle account

B) Decrease in assets of motor vehicle account

C) Increase in assets of bank account

C) Increase in assets of bank account

D) Increase in liabilities of bank account

D) Increase in liabilities of bank account

#34. A proprietor withdraws cash from the business for private use, he

A) credits cash account and debits bank account

A) credits cash account and debits bank account

B) credits cash account and debits drawing A/C

B) credits cash account and debits drawing A/C

C) debits cash account and credits drawings account

C) debits cash account and credits drawings account

D) debits bank account and credits drawings account

D) debits bank account and credits drawings account

#35. The rules of double entry states that

A) for every debit entry, there must be a corresponding debit entry

A) for every debit entry, there must be a corresponding debit entry

B) for every credit entry, there must be a corresponding credit entry

B) for every credit entry, there must be a corresponding credit entry

C) all transactions must be recorded in two accounts, one account is debited and another is credited

C) all transactions must be recorded in two accounts, one account is debited and another is credited

D) all transaction must be credited

D) all transaction must be credited

#36. The difference between double entry and single entry is

A) double entry is based on the dual concept while single entry is not based on dual concept

A) double entry is based on the dual concept while single entry is not based on dual concept

B) double entry is an account while single entry is not an account

B) double entry is an account while single entry is not an account

C) double entry keeps personal account while single does not

C) double entry keeps personal account while single does not

D) double entry is useful for business enterprise while single entry is not

D) double entry is useful for business enterprise while single entry is not

#37. A rent of ₦50,000 was paid by samson to his landlady by cheque. The double entry in Samson's book is

A) Debit rent account, Credit bank account

A) Debit rent account, Credit bank account

B) Debit Rent account, Credit Samson's account

B) Debit Rent account, Credit Samson's account

C) Debit Bank account, Credit Rent account

C) Debit Bank account, Credit Rent account

D) Debit Samson's account, Credit Rent account

D) Debit Samson's account, Credit Rent account

#38. The purpose of profit and loss account is to ascertain

A) Gross profit

A) Gross profit

B) Capital

B) Capital

C) Expenses

C) Expenses

D) Net profit

D) Net profit

#39. Discount received is charge to

A) current account

A) current account

B) profit and loss

B) profit and loss

C) trading account

C) trading account

D) balance sheet

D) balance sheet

#40. An ordinary share of ₦100 was issued at ₦80. The share was issued at

A) premium

A) premium

B) par

B) par

C) discount

C) discount

D) loss

D) loss

#41. Shares that are offered to existing shareholders at a price is called

A) par

A) par

B) premium

B) premium

C) right issue

C) right issue

D) bonus issue

D) bonus issue

#42. Where there is no agreement made by the partners, the following provisions takes place except

A) No salary for partners acting in the business

A) No salary for partners acting in the business

B) There is interest on capital

B) There is interest on capital

C) No interest to be charged on drawings

C) No interest to be charged on drawings

D) Profit and loss are to be shared equally

D) Profit and loss are to be shared equally

#43. In the absence of partnership agreement, a loan by a partner attracts interest at

A) 20%

A) 20%

B) 5%

B) 5%

C) 10%

C) 10%

D) 15%

D) 15%

#44. In a non-profit making organisation, the excess of Assets over liabilities equals

A) capital

A) capital

B) capital employed

B) capital employed

C) capital owned

C) capital owned

D) accumulated funds

D) accumulated funds

#45. The similarities between Receipts and payments and income and expenditure account is

A) Both accounts follows the principle of double entry

A) Both accounts follows the principle of double entry

B) They are summaries of financial statements

B) They are summaries of financial statements

C) Both include capital items

C) Both include capital items

D) Both are prepared by non-profit making concern

D) Both are prepared by non-profit making concern

#46. Given: Equipment Motor Vehicle Loan Creditors Sub in advance Sub in arrears ₦ 10,000 15,000 4,500 3,000 150 3500 What is the accumulated fund?

A) ₦14,150

A) ₦14,150

B) ₦20,850

B) ₦20,850

C) ₦21,850

C) ₦21,850

D) ₦14,200

D) ₦14,200

Finish

Practice other past questions here

Practice other Financial Accounting Past Questions Here