2008 - JAMB Accounting Past Questions and Answers - page 2

11
Abba offers 5% cash discount on goods worth N10 000, The discount allowed account is to be?
A
debited with N10 000
B
credited with N10 000
C
debited with N500
D
credited with N500
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12
Commission-on-turnover is charged on?
A
current accounts only
B
savings accounts only
C
fixed deposit accounts only
D
all bank accounts
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13
The medium that enables the ATM to read the account details and process transaction directly with the account held in the bank is the?
A
smart card
B
communication network
C
magnetic strip
D
computerized account
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14
Use the information below to answer question .

Capital.......N12 700........Purchases......N7 100
Debtors.......N4 000........Stationery.....N1 900
Sales.........N2 400........Wages..........N1 230

The owners wishes to maintain an account equal to of capital as drawings.

What is the amount withdrawn?
A
N9525
B
N9000
C
N7100
D
N6400
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15
\(\begin{array}{c|c}
\text{Capital} & 12,700 & \text{Purchases} & 7,100 \\ \hline
\text{Debtors} & 4,000 & \text{Stationery} & 1,900 \\ \hline
\text{Sales} & 2,400 & \text{Wages} & 1,230 \\ \end{array}\)

Determine the closing balance of the cash book?
A
N655 credit
B
N655 debit
C
N130 credit
D
N130 debit
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16
The factor that determine the periodic depreciation charge are?
A
asset cost, market value and useful life
B
asset cost, market value and residusl value
C
asset value, cash value useful life
D
asset cost, salvage and useful life
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17
Use the information below to answer questions .

Aug. 1 Received 20 units at N60 each
Aug. 6 Received 20 units at N68 each
Aug. 10 Issued 16 units
Aug. 20 Received 40 units at N80 each
Aug. 31 Issued 48 units

Using the simple average method, what is the cost per unit of the closing stock?
A
N80
B
N74
C
N64
D
N60
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18
Use the information below to answer questions .

Aug. 1 Received 20 units at N60 each
Aug. 6 Received 20 units at N68 each
Aug. 10 Issued 16 units
Aug. 20 Received 40 units at N80 each
Aug. 31 Issued 48 units

Using the FIFO method, what is the value of the closing stock?
A
N1280
B
N1184
C
N1024
D
N960
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19
In a period of inflation, which of the following method normally gives a closing closing stock?
A
FIFO
B
LIFO
C
Sinple average
D
periodic simple average
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20
The main purpose of control account is to?
A
detect errors and irregularities
B
assist purchases
C
assist sales
D
check management incompetence
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