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.

491.

Payment to creditors ₦12,250
Creditors at start ₦550
Creditors at end ₦830

What is the amount of purchase?

A.

₦11,970

B.

₦11,000

C.

₦1,250

D.

₦12,053

Correct answer is A

12,250 + 550 - 830
13,080 - 830
₦11,970

492.

Given:


Equipment
Motor Vehicle
Loan
Creditors
Sub in advance
Sub in arrears

10,000
15,000
4,500
3,000
150
3500

What is the accumulated fund?

 

A.

₦14,150

B.

₦20,850

C.

₦21,850

D.

₦14,200

Correct answer is B

Accumulated fund = Assets - liabilities
10,000 + 15,000 + 3500 - 4500 + 3000 + 150
28,500 - 7650
₦20,850

493.

The similarities between Receipts and payments and income and expenditure account is

A.

Both accounts follows the principle of double entry

B.

They are summaries of financial statements

C.

Both include capital items

D.

Both are prepared by non-profit making concern

Correct answer is C

The receipts and payment accounts include both capital and revenue items while income and expenditure account include only revenue items.

 

494.

In a non-profit making organisation, the excess of Assets over liabilities equals

A.

Capital

B.

Capital employed

C.

Capital owned

D.

Accumulated funds

Correct answer is D

The excess of the assets over the liabilities of a non-profit making concern is called Accumulated Fund. It is the capital of a non-profit making association. In order to ascertain the accumulated fund, a statement of affairs will be prepared.

 

495.

Where there is no agreement made by the partners, the following provisions takes place except

A.

No salary for partners acting in the business

B.

There is interest on capital

C.

No interest to be charged on drawings

D.

Profit and loss are to be shared equally

Correct answer is B

According to section 24 of the partnership Act 1890. If no specific agreement is made by the partners, the following takes place:
1. No partners may introduce a new person without the consent of all other partners 2.5% interest a year on loans made by partner e.t.c