Accounting Questions and Answers

Adex Ltd. issues stock to its retail branches at cost price. The following particulars relate to Ede branch.

Stock at branch 1st January at cost............N400
Goods sent to branch at cost...................N8000
Returns to head ...............................N340
Cash sales ....................................N9160
Stock at branch 31st December at cost..........N720

Calculate the cost of goods credited to the head office trading account?

Adex Ltd. issues stock to its retail branches at cost price. The following particulars relate to Ede branch.

Stock at branch 1st January at cost............N400
Goods sent to branch at cost...................N8000
Returns to head ...............................N340
Cash sales ....................................N9160
Stock at branch 31st December at cost..........N720

What is the gross profit carried to the profit and loss account?

(i)Orientation 
(ii) Entity 
(iii)Legal status
(iv)Finance.
Which of the characteristics above distinguishes a profit-making from a not-for-profit-making organizations?

Stock or raw materials(1st January) 3000
Direct wages 2500
Direct expenses 1000
Factory overheads 2000
Cost of raw materials used 5500
Stock of finished goods (31st December) 2000

The cost of goods manufactured is?

Stock of raw materials (1st January) N3000
Direct wages N2500
Direct expenses N1000
Factory overheads N2000
Cost of raw materials used N5500
Stock of finished goods (31st December) N2000

Determine the prime cost.