JAMB Accounting Past Questions & Answers - Page 262

1,306.

The instrument that are generated when firms enter into business transactions with others are called

A.

Purchase document

B.

Journals

C.

Source documents

D.

Invoices

Correct answer is C

No explanation has been provided for this answer.

1,307.

Creditors use Accounting information for the purpose of

A.

Planning sales to a company

B.

Controlling a company's affairs

C.

Investing in a company

D.

Assessing a company's liquidity

Correct answer is D

No explanation has been provided for this answer.

1,308.

In preparing accounting records, the owner of a business and the business are treated as

A.

The same person

B.

Having business relationship

C.

Separate legal entities

D.

Partners

Correct answer is C

No explanation has been provided for this answer.

1,309.

The most important reason for studying accounting is that

A.

The information provided by accounting is useful in making decision

B.

Accounting plays an important role in the society

C.

The study of Accounting leads to challeging career

D.

Accounting provides gross profit information

Correct answer is A

No explanation has been provided for this answer.

1,310.

A government accounting systems must make sure that

A.

Revenue exceeds expenditure

B.

All applicable legal provisions are complied with

C.

Capital expenditure is equal to revenue

D.

Capital project fund is tied to recurrent expenditure

Correct answer is B

No explanation has been provided for this answer.