which of the following factors has aided the development of accounting?
A
The emergence of nation states
B
The discovery of mineral resources in commercial quantity
C
the growth in size of businesses and separation of ownership and management
D
the development and management of sophisticated monetary system
Ask EduPadi AI for a Detailed Answer
2
Which of the following concept stipulates that accounting profit is the difference between revenue and expenses?
A
Accrual concept
B
Conservatism concept
C
Prudence concept
D
Materiality concept
Ask EduPadi AI for a Detailed Answer
3
An effective accounting system should provide information
A
on new product and methods
B
for cutomer feed back and requirement
C
on internal and external reporting for managers and third parties
D
for promoters, directors, labour union and distributors
Ask EduPadi AI for a Detailed Answer
4
Which of the following accounting records are source documents?
A
Journal and ledgers
B
Sales invoice and cash book
C
Cash book and debit note
D
sales invoice and debit note
Ask EduPadi AI for a Detailed Answer
5
Given: Motor van, N3,600, Premises, N5,000; Loan from R. Nwaeke, N1,000; Cash at bank; N1,650; stock of goods N4,800; Creditors, N2,560; Cash in hand, N250 and debtors N6,910. calculate the capital figure.
A
N19,650
B
N18,650
C
N17,850
D
NN16,850
Ask EduPadi AI for a Detailed Answer
6
Which of the following transaction is BEST recorded in the general journal?
A
Payment of rent with cheque
B
Purchase of stock with cash
C
Purchase of an asset on credit terms
D
Transfer of cash from head office branch
Ask EduPadi AI for a Detailed Answer
7
Diamond Ringo business was started when Mr. Diamond brought in a cheque of N500,000, which was paid into the bank account. Which of the following entries properly records the transaction?
A
Cash account was credited with N500,000 and capital account was debited with N500,000
B
Bank account was debited with N500,000 and capital account was credited with N500,000
C
Bank account was accredited with N500,000
D
Mr. diamond acount was debited with N500,000 and the cheque account was credited with N500,000
Ask EduPadi AI for a Detailed Answer
8
One major advantage of ledger is that it
A
is a book of original entry
B
is only accessible to share holders during liquidation
C
removes the need for preparing a balance sheet after each transaction
D
can be used by any type of business
Ask EduPadi AI for a Detailed Answer
9
A trail balance is usually prepared by an accountant from account balances in the ledger for the purpose of
A
classifying accounts in the ledger
B
testing arithmetical accuracies of the ledger account balances
C
identifying the balance sheet items
D
providing a basis for establishing the accountant's competence
Ask EduPadi AI for a Detailed Answer
10
What are the advantages of an imprest petty cash book?
I cheques can be drawn easily
II A cheque on the use of cash
III Liability of the petty cashier is limited to the value of petty cash
IV Loses through the petty cashier can be minimized
