JAMB Accounting Past Questions & Answers - Page 241

1,201.

Among Limited invoiced goods at a cost of N10,000 to its Ikeja branch at a marginal of 20%. The branch later returned goods worth N1,200 at invoice price to the head office.

The profit marginal should be?

A.

Debit to goods sent to branch account

B.

Debit to branch stock adjustment account

C.

Credit to branch adjustment account

D.

Credit to branch stock adjustment account

Correct answer is D

No explanation has been provided for this answer.

1,202.

To record the transfer of stock from one department to another, the correct entry would be to debit?

A.

Goods outwards and credit goods inwards

B.

Merchandise account and credit department stock account

C.

Department transfering and credit department receiving

D.

Department receiving and credit department transfering

Correct answer is D

No explanation has been provided for this answer.

1,203.

The best method of allocating expenses among departments is to

A.

Allocate expenses to each department in proportion to the sales of that department

B.

Charge against each department those costs which are within its control

C.

Charge expenses against each department in proportion to the purchases of that department

D.

Allocate expenses to each section of the department in relation to the number of people

Correct answer is B

No explanation has been provided for this answer.

1,204.

Shares issued to a vendor in payment of business purchased would require a debit to

A.

Cash account and credit to share capital account

B.

Share capital account and credit to vendor's account

C.

Vendor's account and credit to share capital account

D.

Share capital account and credit to cash account

Correct answer is C

No explanation has been provided for this answer.

1,205.

Calls in advance are treated in the balance sheet as

A.

Current asset

B.

Current liability

C.

Fixed assets

D.

Fixed liability

Correct answer is B

No explanation has been provided for this answer.