Accounting questions and answers

Accounting Questions and Answers

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.

2,111.

Which of the following is added to the proprietor's capital?

A.

Net profit

B.

Gross profit

C.

Net sales

D.

Gross sales

Correct answer is A

Net profit is the actual profit after working expenses not included in the calculation of gross profit have been paid. That is, it is the profit after expenses have been deducted from gross profit. It makes up part of the business capital called plough-back profit. 

2,112.

Where a wrong figure occurs in only one account with the second figure correctly stated, this is an error of

A.

Transposition

B.

Compensation

C.

Omission

D.

Commission

Correct answer is A

A transposition error is a data entry error that occurs when two digits are accidentally reversed. It is where a bookkeeper accidentally reverses two adjacent digits, when recording transactional data.

2,115.

 

Use the following information to answer the question given


\(\begin{array}{c|c} \text{Jan. 1} & \text{₦}\\ \hline \text{1/1/08 Capital introduced by cash} & 50,000 \\ \text{2/1/08 Bought goods for retail by cash} & 10,000\\ \text{3/1/08 Sold fixtures by cash} & 5,000\\ \text{4/1/08 Sold goods to Lagbaja on credit} & 3,000\\ \text{5/1/08 Bought goods on credit from Tamedu}& 8,000\end{array}\)

Cash balance at 5/1/08 is

A.

₦50,000

B.

₦40,000

C.

₦45,000

D.

₦30,000

Correct answer is C

The amount of money in an account. It is calculated by adding the initial deposit to all subsequent deposits and then subtracting all disbursements.

capital introduced   50000  
purchase                                10000
sales                       5000     
Bal c/d                                    45000   
                               55000      55000

cash balance = 45000