Which of the following is shown in the profit and loss appropriation account of a company?
Interest charges
Depreciation
Directors employments
Dividends
Correct answer is D
In general accounting, appropriation accounts are mainly prepared by partnerships and limited liability companies (LLCs). They are an extension of theprofit and loss statement, showing how the profits of a firm are allocated to shareholders or to increase reserves indicated in the balance sheet. it usually contains dividends, retained earnings, goodwill etc
N52,000
N51,000
N55,000
N50,000
Correct answer is C
Total purchases = credit purchases plus cash purchases i.e. N52000 + N3000 = N55,000
When shares are sold at more than the par value, they are said to have been issued at
A premium
Normal value
A discount
A profit
Correct answer is B
Par value (also known as par, nominal value or face value) is the face value of a bond. Par value for a share refers to the stock value stated in the corporate charter.
Which of the following accounts is debited when a delivery van is sold for cash?
Sales account
Delivery van account
Cash account
Profit and loss accounts
Correct answer is C
if there was a Loss on sale, we Debit cash for the amount received, debit all accumulated depreciation, debit the loss on sale of asset account, and credit the fixed asset.
if there was a Gain on sale. Debit cash for the amount received, debit all accumulated depreciation, credit the fixed asset, and credit the gain on sale of asset account.
Cash is received and expected to be debited going by the principles of double entry.
Keeping records under single entry system has the advantage of
Quality in terms of records
Simplicity in terms of operation
Accuracy in terms of operation
Completeness in terms of records
Correct answer is B
Advantages Of Single Entry System. Single entry system does not need any special accounting knowledge and personnel to record financial transaction of the business. It can be maintained easily by the business owner. So, this system of book-keeping is simple to maintain and easy to practice.