If you are preparing for an accounting aptitude test or even a job interview, these accounting questions and answers will help you master the principles of accounting. This test covers accounting past questions from WAEC, JAMB, Post UTME exams and many more.
Which of the following is not prepared by a partnership?
Trading account
Profit and loss account
Income and expenditure account
Profit and loss appropriation account
Correct answer is C
The income and expenditure account is an account prepared by non-trading concerns to ascertain surplus or deficit of income over expenditures for a particular period. Partneship business is a profit oriented business
The name given to a budget in public service accounting is
Vote
Subvention
General order
Estimate
Correct answer is D
No explanation has been provided for this answer.
Branch stock account is used to determine the
Net value of goods sent to branch
Gross profit of the branch
Branch credit sales
Branch net profit or loss
Correct answer is D
This account records the transactions in regard to the stock in the branch at invoice price. The debit side of this account records the inflow of stock into the branch and credit side records its outflow from the branch.
The primary objectives of branch accounting are better accountability and control since profitability and efficiency can be closely tracked for individual locations. The head office is able to ascertain the profits and losses of each branch and compare results.
Osa started business with Le 40,000 cash. The accounting entry is debit
Cash account; credit capital account
Capital account; credit cash account
Purchases account; credit cash account
Expenses account; credit capital account
Correct answer is B
Debit capital account (i.e the money used in starting a business) and credit cash
Which of the following is an example of factory overheads?
Salary of marketing officer
Salary of production officer
Salary of accounting officer
Wages of machine operator
Correct answer is A
Factory overhead is the costs incurred during the manufacturing process, not including the costs of direct labor and direct materials.
Examples of factory overhead costs include: indirect materials, indirect labor, depreciation of the factory equipment and plant, amortization of patents, the cost of small tools used, factory utilities, insurance on the factory and equipment, property taxes on plant and equipment, property taxes on materials and goods