1999 - JAMB Accounting Past Questions & Answers - page 2

11
The fixed amount of money given to a petty cashier at the beginning of a period is called?
A
imprest
B
petty cash
C
float
D
cash advance
CORRECT OPTION: c
12
A provision for bad debt account had N3,800 at the beginning of the year and N4,220 at the close of the year. If bad debts are calculated at the rate of 1/2% of annual sales, what was the credit sales for the period?
A
N2,100,000
B
N844,400
C
N840,000
D
N500,000
CORRECT OPTION: b
13
Asa Company bought a vehicle worth N20,000 and the vehicle is to be depreciated at 5%. Using the reducing balance method of depreciation, what would be the value of the asset after 3 years?
A
N19,000.00
B
N18,050.50
C
N17,147.50
D
16,290.13
CORRECT OPTION: c
14
Chibuike bought 36 notebooks at N10 each from John and was given a trade discount of 5%. In addition, he was offered 1% cash discount which he took advantage of. How much did Chibuike pay?
A
N338.58
B
N342.00
C
N345.42
D
N360,00
CORRECT OPTION: a
15
Depreciation on a particular piece of machinery was N2,700 during the fifth year of its service life and N4,050 during the sixth year. The logical explanation for this is that?
A
an addition was made to the asset during the sixth year
B
the estimate of salvage value on this equipment was decreased
C
a unit-of-output method of depreciation was used during the sixth year
D
the estimate remaining service life of the assets was increased at the beginning of the sixth year
CORRECT OPTION: a
16
The main features of the single system are that?
A
books of accounts are not maintained and business relies only on bank statement
B
the journal records are absent and only the main ledger is kept 7
C
there are incomplete classifications and recording procedures
D
only credit sales transactions and credit purchase are recorded
CORRECT OPTION: c
17
The principal function of a sales ledger control account is to?
A
serve as internal check and provide quick information for the preparation of interim financial statements
B
serve as external check and provide quick information for the preparation of interim financial statements
C
provide quick information for the preparation of customers' statement
D
provide information for the control of salesmen's activities
CORRECT OPTION: c
18
In dealing with incomplete records, fixed assets are posted to?
A
opening profit and loss as brought forward figures
B
closing balance sheet as carried forward figures
C
closing balance sheets as brought forward figures
D
closing profit and loss as brought forward figures
CORRECT OPTION: c
19
When the factory cost of production has been ascertained, manufactured goods are transferred to trading account by?
A
debting manufacturing account and crediting trading acccount
B
crditing sales account and debtiting trading account
C
debiting sales account and crediting trading account
D
crediting manufacturing account and debiting trading account
CORRECT OPTION: d
20
Lawal and co makes blocks and sell to builders.
In computing prime cost, which of the following costs would be considered appropriate?
A
Cement, sand and carriage outwards
B
Water carriage inwards and cement
C
Sales boys'wages, cement and sand
D
Carriage outwards,carriage inwards and cement
CORRECT OPTION: a
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