2014 - JAMB Accounting Past Questions & Answers - page 1

1
One of the the differences between bookkeeping and accounting is that the former
A
records data while the latter interprets
B
is regarded as the language of the business while the latter ascertains its strenght
C
interprets data while the latter records it
D
summarises information while the latter communicates it
CORRECT OPTION: a
2
The concept which states that revenue should be recognized at the point when the sale is deemed to have been made is
A
matching
B
consistency
C
realization
D
going concern
CORRECT OPTION: c
3
A cheque of #5,000 paid to Sulieman had been correctly entered in the cash book but had not been entered in Sulieman's account. To correct this error, debit Sulieman's account and credit
A
cash account
B
bank account
C
suspense account
D
purchases account
CORRECT OPTION: b
4
Aduke Motors bought three Toyota Hilux vans on cash at the cost of #6,000,000, on debiting the vehicle account, the corresponding credit for the purchase will appear in the
A
sales day book
B
purchases day book
C
sales subsidiary book
D
cash book
CORRECT OPTION: d
5
Which of the following affects the accuracy and authenticity of the trial balance?
A
Error of ommission
B
Error of commission
C
Error of transposition
D
Error of original entry
CORRECT OPTION: c
6
A ledger is classified into
A
private, sales and purchases
B
personal, general and private
C
general, private and sales
D
sales, purchases and general
CORRECT OPTION: b
7
The book of account in which information from the source documents are recorded consists of
A
debit and credit notes
B
ledger and subsidiary books
C
prepayments and accruals
D
profit and loss and balance sheet
CORRECT OPTION: b
8
The accounting entries to record a cheque issued by a business is to
A
debit cash book and credit drawer
B
credit cash book and debit drawer
C
debit cash book and credit suspense account
D
credit cash book and debit suspense account
CORRECT OPTION: b
9
Given:

If Emeka Enterprises settles its suppliers for goods purchased within 7 days, it can earn a cash discount of 12 and half percent. Assuming #22,800 worth of goods were purchased and settled within 5 days, what will be the amount to be credited in the cash column of the company's cash book?
A
#25,650
B
#22,800
C
#19,950
D
#18,240
CORRECT OPTION: c
10
The major advantage of an imprest system is that it
A
ensures a proper accountability for every expenditure
B
trains the young accountants in preparation for greater responsibilities
C
relieves the cheif cashier of the numerous petty cash payments
D
serves as an analysis column for every expenses
CORRECT OPTION: c
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