JAMB Accounting Past Questions & Answers - Page 69

341.

The trader's capital in a single entry system is ascertained by preparing

A.

Gross profit

B.

Statement of affairs

C.

Suspense account

D.

Appropriation account

Correct answer is B

A Statement of Affairs is a document detailing a company's assets and liabilities. Generally prepared by a liquidator or appointed professional during certain insolvency proceedings, the document is later registered at Companies House, where it becomes available for public view.

 

342.

Opening balance of Diks company was N12,202, closing balance N15,300, total cash received during the period N40,000. What was the amount of cash paid during the same period?

A.

N36,902

B.

N27,502

C.

N12,498

D.

N43,098

Correct answer is A

Opening balance = 12,202 + cash recieved = 40,000 = 52,202
less closing balance
= 52,202 - 15,300 = 36902 (Amount spent during the period) 

 

343.

Impersonal account is subdivided into

A.

Real and nominal accounts

B.

Nominal and personal accounts

C.

Real and current accounts

D.

Personal and real accounts

Correct answer is A

IMPERSONAL ACCOUNTS represents accounts other than Personal Accounts. This may be sub-classified into:
a. Real Accounts, e.g. Asset Account; and,
b. Nominal Accounts, e.g. Income and Expenditure Accounts.

 

344.

The costs of acquiring fixed assets and bringing them into the firm is a

A.

General expenses

B.

Recurrent expenditure

C.

Revenue expenditure

D.

Capital expenditure

Correct answer is D

Capital expenditure; money spent by a business or organization on acquiring or maintaining fixed assets, such as land, buildings, and equipment.

 

345.

A discount that is allowed to encourage a debtor to pay off his debt within a period is the

A.

Annual discount

B.

Trade discount

C.

Periodic discount

D.

Cash discount

Correct answer is D

cash discount is a deduction allowed by some sellers of goods or by some providers of services in order to motivate customers to pay within a specified time. The cash discount is also referred to as an early payment discount.