JAMB Past Questions and Answers - Page 1360

6,797.

Didi Ltd offered 10,000 ordinary shares of N1.50 each at a discount of 2% which were fully subscribed. With regard to the offer above?

A.

Shares are never offered at a discount; the offer is invalid

B.

The value of shares in the capital account will be lowered by 2%

C.

The company incurs a loss to the tune of 2% of the offer

D.

Each of the subscribers loses 2% of investment

Correct answer is C

No explanation has been provided for this answer.

6,798.

When a customer's cheque is returned unpaid in a debtor's control accounting system, the treatment will be

A.

Debit bank, credit custmer and credit control account

B.

Credit bank, debit customer, and credit control account

C.

Debit customer, debit control account and credit bank

D.

Credit control account, debit bank and debit customer

Correct answer is B

No explanation has been provided for this answer.

6,799.

One of the advantage of the shortcomings of single entry procedures is that

A.

A trial balance is not available

B.

Profits are overestimated

C.

There are no subsidiary books

D.

There are no control accounts

Correct answer is A

No explanation has been provided for this answer.

6,800.

A fixed cost is fixed only in relation to

A.

The quality of goods produced

B.

The quantity of goods sold

C.

A given period of time and a range of activities

D.

A given period of time and the nature of activity

Correct answer is D

No explanation has been provided for this answer.