Determine the total expenses to be charged to profit and loss account?
N2,350
N1,600
N800
N3,150
NO OPTION
Correct answer is E
No explanation has been provided for this answer.
N6,000
N9,900
N14,100
N5,700
Correct answer is D
opening stock = 4200
closing stock = 3900
cost of goods sold = 6000
purchase = opening stock - closing stock - cost of goods sold
4200 - 3900 = 300
6000 - 300 = 5700
Have a higher cost of goods sold
Have a higher gross profit
Pay higher gross profit
Have a higher value for closing stock
Correct answer is A
During periods of inflation (rise in prices), the use of LIFO will result in the highest estimate of cost of goods sold among the three approaches, and the lowest net income.
If an organization maintains a periodic stock system, the stock quantities are?
Updated at the end of the accounting year
Not considered in the updating process
Updated continuously
Updated at the beginning of the accounting year
Correct answer is A
In accounting, a financial period is calculated on a yearly basis. Accounts are prepared at the end of the year.
N780
N800
N1200
N200
Correct answer is B
The business owner made a provision of 500 as bad debt. Total debt owed was 20,000. At the end of the period, bad debts was 4%. Hence we have;
4% x 20000
0.04 x 20000 = 800