2005 - JAMB Accounting Past Questions and Answers - page 3

21
The current ratio is
A
1:1
B
2:1
C
2.8:1
D
3.5:1
correct option: b
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22
The quick ratio is
A
1:2
B
1:3:1
C
1.7:1
D
3:1
correct option: b
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23
The double principle of accounting was developed by?
A
Frank Wood
B
Luca Pacioli
C
Akintola Williams
D
William Pickles
correct option: b
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24
The concept that has much influence over asset valuation and income determination is?
A
entity
B
realization
C
conversactism
D
matching
correct option: b
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25
The journal entries for the purchase of stock on credit are to debit?
A
stock account and credit cash account
B
stock account and credit liability account
C
ourchase account and credit liability account
D
suspense account and credit cash account
correct option: c
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26
Given:

Liabilities..............N23,700
Current assets...........N20,300
Fixed assets.............N64,500

What is the capital introduced by the proprietor?
A
N40,800
B
N61,100
C
N88,200
D
N108 500
correct option: b
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27
Given:

Rent..............N10,000
Rates.............N5,000
Capital...........N50,000
Salaries..........N14,000
Cash..............N26,000
Creditors..........N5,000

The total trial balance is?
A
N110,000
B
N65,000
C
N55,000
D
N45,000
correct option: c
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28
What are the appropriate recording procedures for entries in the trial balance?
A
source documents, ledgers and trial balance
B
Ledgers, trial balance and source documents
C
Ledgers, source documents and trial balance
D
Cash account, ledgers and trial balance
correct option: a
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29
Mr Bassey purchased a motor vehicle for use in his business and debited the purchases account with the same value. This is an error of?
A
omission
B
principle
C
commission
D
original entry
correct option: b
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30
Yahya,s bank account shows a credit balance of N1500,000. He paid N1700,000 into the bank.
What is his expected balance?
A
Credit balance of N 200,000
B
Debit balance of N 200,000
C
credit balance of N 3 200,000
D
Debit balance of N3 200,000
correct option: c
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