Financial Accounting Past Questions v10 (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 v10 (JAMB/WAEC/NECO)

Results

#1. Which of the following is the least liquid?

A) stock

A) stock

B) debtors

B) debtors

C) bills receivable

C) bills receivable

D) payment machinery

D) payment machinery

#2. Opening stock + Purchases + carriage inwards is equal to

A) total sales

A) total sales

B) cost of goods sold

B) cost of goods sold

C) cost of goods available for sale

C) cost of goods available for sale

D) gross profit

D) gross profit

E) prime cost

E) prime cost

#3. Which of the following is a source of the local government Revenue?

A) personal income tax

A) personal income tax

B) sales of armed forces property

B) sales of armed forces property

C) repayment (state)

C) repayment (state)

D) repayment (Interest and General)

D) repayment (Interest and General)

E) market rates

E) market rates

#4. The accountant general disburses government fund by the use of

A) a voucher

A) a voucher

B) a warrant

B) a warrant

C) an estimate

C) an estimate

D) a vote

D) a vote

E) a provision

E) a provision

#5. Carriage inwards are included on goods

A) on display

A) on display

B) sold

B) sold

C) in process

C) in process

D) purchases

D) purchases

E) on return

E) on return

#6. Which of the following is n asset?

A) bad debt provision

A) bad debt provision

B) rent in arrears

B) rent in arrears

C) sales

C) sales

D) accrued wages

D) accrued wages

E) insurance prepaid

E) insurance prepaid

#7. A balance sheet is prepared

A) for the year ended...........19 x 1

A) for the year ended...........19 x 1

B) for............19 x 1

B) for............19 x 1

C) as to.............19 x 1

C) as to.............19 x 1

D) in the year..............19 x 1

D) in the year..............19 x 1

E) up to...........19 x 1

E) up to...........19 x 1

#8. Which of the following is not a Nominal Account?

A) electricity account

A) electricity account

B) furnitures and fittings account

B) furnitures and fittings account

C) postages and telephone account

C) postages and telephone account

D) insurance account

D) insurance account

E) discount allowed account

E) discount allowed account

#9. Partners salary is shown in the

A) trading account

A) trading account

B) profit and loss account

B) profit and loss account

C) income and expenditure

C) income and expenditure

D) profit and loss appropriation account

D) profit and loss appropriation account

E) partner's capital account

E) partner's capital account

#10. Which of the following is the personal ledger?

A) assets account

A) assets account

B) discount allowed account

B) discount allowed account

C) sales account

C) sales account

D) discount received account

D) discount received account

E) debtors account

E) debtors account

#11. Which of the following has a debit balance? i. calls-in-arrears ii. cash-in-advance iii. share discount

A) i

A) i

B) ii

B) ii

C) iii

C) iii

D) ii and iii

D) ii and iii

#12. Accounts payable is

A) an accrual

A) an accrual

B) a provisin

B) a provisin

C) a current liability

C) a current liability

D) a long-term liability

D) a long-term liability

E) a current asset

E) a current asset

#13. Which of the following is/are true? i. depreciation charges increase profits ii. reduction in provision for bad debt increases profit iii. undervalued stock increases profits

A) ii and iii

A) ii and iii

B) i and iii

B) i and iii

C) iii

C) iii

D) ii

D) ii

E) i

E) i

#14. Uche returned goods worth ₦1,500 to Udo. Uche should receive

A) an invoice

A) an invoice

B) a statement of account

B) a statement of account

C) a debit note

C) a debit note

D) a credit note

D) a credit note

E) goods received note

E) goods received note

#15. To realize an asset means to

A) close its account in the ledger

A) close its account in the ledger

B) give it out as a collateral

B) give it out as a collateral

C) turn it to cash

C) turn it to cash

D) open its account in the ledger

D) open its account in the ledger

E) mortage it

E) mortage it

#16. When a fixed asset is fully depreciated, its net book value is

A) equal to its original cost

A) equal to its original cost

B) twice its original cost

B) twice its original cost

C) equal to its current market value

C) equal to its current market value

D) the difference between its cost and market value

D) the difference between its cost and market value

E) equal to zero

E) equal to zero

#17. Goods worth ₦800 was stolen. The double entries are, debit,

A) purchases account, credut trading account

A) purchases account, credut trading account

B) trading account, credit purchases account

B) trading account, credit purchases account

C) profit and loss account, credit purchases account

C) profit and loss account, credit purchases account

D) profit and loss account, credit purchases account

D) profit and loss account, credit purchases account

E) capital account, credit purchasses account

E) capital account, credit purchasses account

#18. Payment for shares in excess of amount demanded gives rise to

A) dividend warrant

A) dividend warrant

B) revenue reserve

B) revenue reserve

C) capital reserve

C) capital reserve

D) call-in-advance

D) call-in-advance

E) call-in-arrears

E) call-in-arrears

#19. Provision for discount on debtor on debtors is to be

A) debited to profit and loss account

A) debited to profit and loss account

B) creit to profit and loss discount

B) creit to profit and loss discount

C) debit to debtors account

C) debit to debtors account

D) debited to provision for bad debts account

D) debited to provision for bad debts account

#20. Which of the following cannot be realized?

A) debtors

A) debtors

B) creditors

B) creditors

C) fixtures

C) fixtures

D) goodwill

D) goodwill

E) motor vehicles

E) motor vehicles

#21. Which of the following is a recurrent expenditure to a Local Government Council?

A) building classroom

A) building classroom

B) sinking of wells

B) sinking of wells

C) purchase of drugs

C) purchase of drugs

D) construction of markets

D) construction of markets

E) purchase of hospital beds

E) purchase of hospital beds

#22. Which of the following is an example of production overhead?

A) discount allowed

A) discount allowed

B) carried inwards

B) carried inwards

C) factory rent

C) factory rent

D) carriage outwards

D) carriage outwards

E) depreciation of office equipment

E) depreciation of office equipment

#23. Rent paid during 1995 was ₦2,000 while rent paid at 31st December, 1995 was

A) ₦2,400

A) ₦2,400

B) ₦2,200

B) ₦2,200

C) ₦2,000

C) ₦2,000

D) ₦1,800

D) ₦1,800

#24. When a share is sold for less than its nominal value, the difference is debited to

A) share premium account

A) share premium account

B) share discount account

B) share discount account

C) profit and loss account

C) profit and loss account

D) capital reserve account

D) capital reserve account

E) general reserve account

E) general reserve account

#25. The accounting year of Fehintola Ltd. ends on 31st December every year. Pant and Machinery purchased on 1st January, Year 1 ₦600,000 Depreciation rate per anuum, 10% Scrap value, ₦60,000. Using reducing balance method, what is the depreciation for Yr. 2?

A) ₦160,000

A) ₦160,000

B) ₦114,000

B) ₦114,000

C) ₦60,000

C) ₦60,000

D) ₦54,000

D) ₦54,000

E) ₦48,000

E) ₦48,000

#26. The accounting year of Fehintola Ltd. ends on 31st December every year. Pant and Machinery purchased on 1st January, Year 1 ₦600,000 Depreciation rate per anuum, 10% Scrap value, ₦60,000. Using reducing balance method, what is the net book value on 31st December of Yr. 2?

A) ₦551,400

A) ₦551,400

B) ₦546,00

B) ₦546,00

C) ₦540,000

C) ₦540,000

D) ₦486,000

D) ₦486,000

E) ₦440,000

E) ₦440,000

#27. The accounting year of Fehintola Ltd. ends on 31st December every year. Pant and Machinery purchased on 1st January, Year 1 ₦600,000 Depreciation rate per anuum, 10% Scrap value, ₦60,000. Using the straight line method, what is the cumulative depreciation at the end of yr.3?

A) ₦216,000

A) ₦216,000

B) ₦206340

B) ₦206340

C) ₦180,000

C) ₦180,000

D) ₦162,600

D) ₦162,600

E) ₦162,000

E) ₦162,000

#28. The accounting year of Fehintola Ltd. ends on 31st December every year. Pant and Machinery purchased on 1st January, Year 1 ₦600,000 Depreciation rate per anuum, 10% Scrap value, ₦60,000. Using the straight line method, what is he net book value at the beginning of the year 3?

A) ₦540,000

A) ₦540,000

B) ₦492,00

B) ₦492,00

C) ₦438,000

C) ₦438,000

D) ₦437,400

D) ₦437,400

#29. Interest on Partner's drawing is credited to

A) capital account

A) capital account

B) drawings account

B) drawings account

C) current account

C) current account

D) profit and loss account

D) profit and loss account

E) appropriate account

E) appropriate account

#30. Carriage outwards is the amount spent on transporting

A) goods sold

A) goods sold

B) goods purchased

B) goods purchased

C) goods returned to stock

C) goods returned to stock

D) excess stock

D) excess stock

E) goods for manufacture

E) goods for manufacture

#31. Discount allowed is charged to

A) profit and loss appropriation account

A) profit and loss appropriation account

B) manufacturing account

B) manufacturing account

C) trading account

C) trading account

D) profit and loss account

D) profit and loss account

E) current account

E) current account

#32. The loss made by a non-trading organization is called

A) surplus

A) surplus

B) drawing

B) drawing

C) deficit

C) deficit

D) shortage

D) shortage

E) discount

E) discount

#33. Which of the following is true in Public sector accounting? Cost of assets is

A) depreciated on straight line method

A) depreciated on straight line method

B) depreciated on reducing balance method

B) depreciated on reducing balance method

C) expensed in the year of purchase

C) expensed in the year of purchase

D) charged to federation account

D) charged to federation account

E) not recognized in any form

E) not recognized in any form

#34. The Act establishing the institute of Chartered Accountants of Nigeria (ICAN) came into force on?

A) 1st September, 1960

A) 1st September, 1960

B) 1st October, 1960

B) 1st October, 1960

C) 1st October, 1963

C) 1st October, 1963

D) 1st September, 1965

D) 1st September, 1965

#35. Cost reports for the intention of management should reflect?

A) as much details as possible

A) as much details as possible

B) summary figures only

B) summary figures only

C) details of non-controllable expenses

C) details of non-controllable expenses

D) cost and comparable data useful in decision-making

D) cost and comparable data useful in decision-making

#36. Responsibility accounting is particularly concern with?

A) histoical accounting

A) histoical accounting

B) controllable costs

B) controllable costs

C) storekeeping

C) storekeeping

D) valuation of stock

D) valuation of stock

#37. An advantage of the use of the voucher system is that it?

A) reduces the number of cheques that will be writen during any given period

A) reduces the number of cheques that will be writen during any given period

B) provides a highly flexible system for handling unusual transactions

B) provides a highly flexible system for handling unusual transactions

C) provides a comprehensive record of business done with particular suppliers

C) provides a comprehensive record of business done with particular suppliers

D) ensure that every expenditure is reviewed and verified before payment is made

D) ensure that every expenditure is reviewed and verified before payment is made

#38. A business transaction is recorded in the books of account when the?

A) owner of the business invests his ₦10,000 in another company

A) owner of the business invests his ₦10,000 in another company

B) business retains part of ofits profits for future expansion purposes C)

B) business retains part of ofits profits for future expansion purposes C)

C) business invest applies for overdraft facilities from its bankers

C) business invest applies for overdraft facilities from its bankers

D) owner of the business collects ₦5,000 from the accountant

D) owner of the business collects ₦5,000 from the accountant

#39. When a transaction causes an assets account to increase, there is?

A) a decrease of equal amount inthe owner's equity account

A) a decrease of equal amount inthe owner's equity account

B) an increase in a liability account

B) an increase in a liability account

C) an increase of equal amonut in another assets account

C) an increase of equal amonut in another assets account

D) a decrease of equal amount in a liability account

D) a decrease of equal amount in a liability account

#40. N Bank account 59,410 Capital account 50,000 Purchase account 20,000 Rent 2,500 Stationery 90 Typewriter 6,500 Sales 38,000In preparing a trial from the list of balances given above, what is the total in debit and credit columns?

A) ₦147,910

A) ₦147,910

B) ₦138,500

B) ₦138,500

C) ₦88,500

C) ₦88,500

D) ₦85,800

D) ₦85,800

#41. The purchase of two generators by Hassan Electronics Enterprises should be recorded as?

A) an acquistion of fixed assets

A) an acquistion of fixed assets

B) an expenses in its general office expenses account

B) an expenses in its general office expenses account

C) an acquistion of stock

C) an acquistion of stock

D) a part of capital in the capital account

D) a part of capital in the capital account

#42. If the inventory at the end of the current year is understated and the error is not caught during the following year, the effect is to?

A) overstate income this year and understate in next year

A) overstate income this year and understate in next year

B) understate income this year and overstate in next year

B) understate income this year and overstate in next year

C) understate this year's income with no effect on the next year's

C) understate this year's income with no effect on the next year's

D) overstate the income for the two-year period

D) overstate the income for the two-year period

#43. The total of the discounts received column in the cash book is posted to the?

A) credit of the discounts received account

A) credit of the discounts received account

B) debit of the discounts allowed account

B) debit of the discounts allowed account

C) credit of the discounts allowed account

C) credit of the discounts allowed account

D) debit of the discounts received account

D) debit of the discounts received account

#44. Use the information below to answer questions 11 and 12. The initial imprest as at July Ist was ₦500. Petty cash vouchers with the custodian by July 15th added up to ₦394. An IOU slip received from a co-worker was ₦65 and there was a shortage of ₦5 cash. The co-worker made refund on July 18th just before the imprest was replenished.What was the actual cash in the till as at 15th July?

A) ₦106

A) ₦106

B) ₦101

B) ₦101

C) ₦70

C) ₦70

D) ₦36

D) ₦36

#45. The amount required to replenish the payments made from the imprest was?

A) ₦399

A) ₦399

B) ₦394

B) ₦394

C) ₦358

C) ₦358

D) ₦101

D) ₦101

#46. State Bank collected a note for A-Makura Company. This collection, not yet recorded in AL-Makura's books, appears on the bank reconciliation as?

A) an addition to balance per book

A) an addition to balance per book

B) a deduction from balance per bank statement

B) a deduction from balance per bank statement

C) an addition to balance per bank statement

C) an addition to balance per bank statement

D) a deduction from balance per books

D) a deduction from balance per books

#47. Mayana Corporation uses special journals to record its transactions. If one of Mayana's customers returns merchandize purchased with cash (for a refund), it makes an entry in the?

A) cash receipts journal

A) cash receipts journal

B) sales journal

B) sales journal

C) general journal

C) general journal

D) cash disbursement journal.

D) cash disbursement journal.

#48. Sobande Incorporation acquired a machine that involved the following expenditures and related factors. N Gross invoice price 15,000 Sales tax 900 Purchases discount taken 300 Freight 750 Assembly of machine 500 Installation of machine 800 Assorted spare parts for future use 1200 Turing and adjusting machine 700What is the initial accounting cost of the machine?

A) ₦19,550

A) ₦19,550

B) ₦18,950

B) ₦18,950

C) ₦18,350

C) ₦18,350

D) ₦17,500

D) ₦17,500

#49. A pottery company had sales of ₦176,000 during the current period and a gross profit rate of 40%. The company's cost of merchandize available for sale during the period was ₦128,000. The company's ending inventory is?

A) ₦22,400

A) ₦22,400

B) ₦32,000

B) ₦32,000

C) ₦51,200

C) ₦51,200

D) ₦76,800

D) ₦76,800

Finish

Practice other past questions here

Practice other Financial Accounting Past Questions Here