📒 2001

JAMB Principles of Accounts 2001 past questions

43 questions from the 2001 JAMB UTME Principles of Accounts paper. Free, with answers where available.

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Principles of Accounts JAMB 2001 Q1 ✓ Answer: C
The current growth in the volume of trading and financial dealings in Nigeria is helped by
A
Increased financial activities.
B
Government intervention
C
Credit as a factor in business
D
Paying for goods in cash.
Principles of Accounts JAMB 2001 Q2 ✓ Answer: B
Cost accounting entails provision of information
A
For investment purpose
B
For decision making
C
To shareholders
D
To stockholders
Principles of Accounts JAMB 2001 Q4 ✓ Answer: D
If liabilities amounted to N12,045, other assets N36,800 and equity N26,896, the cash at hand would be
A
N2,241
B
N2,214
C
N2,141
D
N2,114. Use the information below to answer questions 5 and 6 Given N Fixed assets 85,600 Sales 197,000 Stock 34,300 Salaries and wages 37,000 Purchases 127,700 Share capital 120,000 Creditors 16,050 Motor expenses 10,500 Debtors 25,000
Principles of Accounts JAMB 2001 Q5 ✓ Answer: D
What is the cash balance?
A
N12,095
B
N12,590
C
N12,905
D
N12,950
Principles of Accounts JAMB 2001 Q6 ✓ Answer: A
Determine the total of the trial balance.
A
N335,050
B
N333,050
C
N323,050
D
N230,550
Principles of Accounts JAMB 2001 Q7 ✓ Answer: A
The accuracy of journalizing is checked by
A
Ensuring that debit totals equal credit totals.
B
Posting all journal entries to ledger accounts.
C
Adding all figures in the debit column.
D
Comparing accounts in the ledger against the jour- nals.
Principles of Accounts JAMB 2001 Q8 ✓ Answer: B
Hauwa Ltd bought 10 bags of rice for N500 each. The company was given 5% and 12% trade and cash dis- counts respectively. What will be recorded as discount received in the company’s book?
A
N250
B
N570
C
N600
D
N850
Principles of Accounts JAMB 2001 Q10 ✓ Answer: A
In a petty cash book, the closing balance was N235, imprest N1250, while the stationery expenses were N655. how much was paid for other general expenses?
A
N360
B
N355
C
N350
D
N305.
Principles of Accounts JAMB 2001 Q11 ✓ Answer: C
When a bill is negotiated to a abank, it is said to be
A
Surrendered
B
Cashed
C
Discounted
D
Accepted
Principles of Accounts JAMB 2001 Q12 ✓ Answer: B
Given that the balance as per cash book after necessary adjustments was N4,315, unpresented cheques were N1,688 and the bank statement balance was N4,791, what was the balance of the uncredited cheques?
A
N1,223
B
N1,212
C
N1,202
D
N1,115
Principles of Accounts JAMB 2001 Q14 ✓ Answer: C
What was the value of fixed assets at the beginning of the year?
A
N2,900,000
B
N3,800,000
C
N3,900,000
D
N4,000,000
Principles of Accounts JAMB 2001 Q15 ✓ Answer: C
The depreciation expense charged for the year is
A
N450,000
B
N250,000
C
N150,000
D
N100,000
Principles of Accounts JAMB 2001 Q17 ✓ Answer: B
What is the stock valuation method used?
A
Last In First Out
B
First In First Out.
C
Average cost
D
Weighted average.
Principles of Accounts JAMB 2001 Q18 ✓ Answer: B
The value of x is
A
N4.00
B
N5.00
C
N5.50
D
N6.00 Use the information below to answer questions 19 and 20 N Purchases ledger opening balance 4,000 Sales ledger opening balance 6,000 Credit purchases during the year 25,000 Discounts allowed 1,000 Returns inwards 2,000 Credit sales during the year 10,000 Returns outwards 6,000
Principles of Accounts JAMB 2001 Q19 ✓ Answer: D
Calculate the sales ledger balance .
A
N3,000
B
N6,000
C
N10,000
D
N13,000
Principles of Accounts JAMB 2001 Q20 ✓ Answer: B
What is the purchases ledger balance?
A
N4,000
B
N23,000
C
N24,000
D
N29,000
Principles of Accounts JAMB 2001 Q21 ✓ Answer: A
For an incomplete record to provide necessary informa- tion, it must be converted to
A
Complete records
B
Double entry records
C
Statement of affairs
D
Single entry. Use the information below to answer questions 22 and 23 Given: 31/12/98 31/12/99 Assets: Plant & Mach. 1,500 1,200 Fixtures Stock Debtors Cash Liabilities: Creditors Loan
Principles of Accounts JAMB 2001 Q22 ✓ Answer: C
Determine the total fixed asset from the opening bal- ance sheet
A
N2,200
B
N2,020
C
N1,720
D
N1,270
Principles of Accounts JAMB 2001 Q23 ✓ Answer: B
What is the capital from the opening balance sheet?
A
N3,600
B
N2,700
C
N2,070
D
1,520.
Principles of Accounts JAMB 2001 Q24 ✓ Answer: D
Given: N Direct material 2,500 Direct labour 5,500 Direct expenses 1,000 Overhead expenses 1,500 From the data above, compute the prime cost
A
N8,500
B
N7,500
C
N6,500
D
N6,000 Use the information below to answer questions 25 and Bar opening stock 10,000 Amount owed to bar suppliers at the beginning of the year 10,000 Bar sales 50,000 Bar credit purchases 40,000 Payment to suppliers 30,000 Bar expenses 1,000 Bar closing stock 15,000
Principles of Accounts JAMB 2001 Q25 ✓ Answer: C
What is the bar profits?
A
N20,000
B
N15,000
C
N14,0000
D
N10,000.
Principles of Accounts JAMB 2001 Q26 ✓ Answer: D
How much is owed to supplier?
A
N50,000
B
N40,000
C
N30,000
D
N20,000
Principles of Accounts JAMB 2001 Q27 ✓ Answer: B
Lubricating oil and spare parts of machinery are examples of
A
Direct material
B
Indirect materials
C
Indirect expenses
D
Direct expenses Use the information below to answer questions 28 and N Subscriptions received during the year 30,000 Subscription owed last year 4,000 Subscription received for next year 6,000
Principles of Accounts JAMB 2001 Q29 ✓ Answer: A
What is the subscription to be charged to income and expenditure account?
A
N36,000
B
N34,000
C
N30,000
D
N20,000
Principles of Accounts JAMB 2001 Q31 ✓ Answer: C
Given N Club training profit 12,000 Members’ subscription 15,000 Profit on sale of fixed assets 2,500 Loss on sale of investment 1,000 Wages 16,500 Other expenses 10,000 Determine the club’s excess of income over expenditure
A
N500
B
N1,500
C
N2,000
D
N2,500
Principles of Accounts JAMB 2001 Q32 ✓ Answer: A
The excess of income over expenditure is usually trans- ferred to the
A
Accumulated fund
B
Profit and loss account
C
Current assets in the balance sheet
D
Current liabilities in the balance sheet.
Principles of Accounts JAMB 2001 Q33 ✓ Answer: B
Partner’s salaries and drawing are usually posted to the
A
Trading account
B
Current account
C
Capital account
D
Partners’ accoun.
Principles of Accounts JAMB 2001 Q34 ✓ Answer: A
marmuhu and Yusuf are in partnership sharing profits and losses in the ratio 2 : 1. On 31/3/2000, the partner- ship decided to admit Idris who is to take ¼ of future [PAGE 26] profits without changing the ratio of Murhunu and Yusuf. What is the new profit-sharing ratio of Marhunu and Yusuf?
A
50% : 25%
B
50% : 20%
C
25% : 50%
D
25% : 25%.
Principles of Accounts JAMB 2001 Q35 ✓ Answer: C
If a partner pays a premium of N500 for 1/5 share of profit, then the total value of goodwill is
A
N500
B
N2,000
C
N2,500
D
N3,000
Principles of Accounts JAMB 2001 Q36 ✓ Answer: A
On the dissolution of a partnership business, the net book value of the assets is transferred to
A
Debit of realization account.
B
Credit of realization account.
C
Debit of bank account
D
Credit of bank account
Principles of Accounts JAMB 2001 Q37 ✓ Answer: A
Baba Ltd acquired the business of Bello Ltd and caused the separate existence of the latter company to termi- nate. This situation is best described as
A
Absorption
B
Merger
C
Conversion
D
Dissolution.
Principles of Accounts JAMB 2001 Q38 ✓ Answer: A
Where a company acquires controlling shares of an- other and the consideration is paid in cash, the entries in the books of the purchases are debit
A
Investment and credit cash
B
Investment and credit shares
C
Purchases and credit cash
D
Purchases and credit shares.
Principles of Accounts JAMB 2001 Q39 ✓ Answer: D
Given Capital 200,000 Total assets 210,000 Liabilities 10,000 210,000 210,000 If the business is purchase at a price including a good- will of N20,000, what must have been the purchase price?
A
N190,000
B
N210,000
C
N220,000
D
N230,000.
Principles of Accounts JAMB 2001 Q40 ✓ Answer: C
The main difference between the ordinary and prefer- ence shareholders is that
A
The former receive dividends while the latter do not
B
The latter are not members of the company while the former are
C
In the case of winding up, the former are paid first before the latter.
D
The former have rights while the latter do not Use the information below to answer questions 241 and 42 Given: N Authorized capital: 100,000 ordinary shares of N1 each issued and fully paid: 50,000 ordinary shares of N1 each 50,000 10,000 8% preference shares of N1 each 10,000 Reserves 25,000 Creditors 15,000 Debtors 13,000 Cash in hand 5,000
Principles of Accounts JAMB 2001 Q41 ✓ Answer: D
Determine the net current assets.
A
N43,000
B
N28,000
C
13,000
D
N3,000
Principles of Accounts JAMB 2001 Q42 ✓ Answer: C
Calculate the shareholder’s fund.
A
N60,000
B
N75,000
C
N85,000
D
N185,000
Principles of Accounts JAMB 2001 Q43 ✓ Answer: C
The law that currently regulates the registration of com- panies in Nigeria is the
A
Constitution of the Federal Republic of Nigeria, 1999.
B
Nigerian Enterprises Promotion Decree, 1972.
C
Companies and Allied Matters Decree, 1972.
D
Companies Decree, 1968.
Principles of Accounts JAMB 2001 Q44 ✓ Answer: C
X and Y are two departments that are to share 50% of all joint costs equally and the balance in the ratio 2 : 1. If a um of N150,000 is incurred jointly, what will the portion attributable to X?
A
N37,500
B
N62,500
C
N87,500
D
N100,000
Principles of Accounts JAMB 2001 Q45 ✓ Answer: C
Department F transferred some goods to department G at a selling price. The goods were not sold at the end of the accounting period. Which account is affected at the time of preparing a combined balance sheet?
A
Creditors
B
Debtors
C
Stock
D
Suspense.
Principles of Accounts JAMB 2001 Q46 ✓ Answer: A
The correct entry to reflect the receipt of cash sent by a branch to a head office is
A
Debit cash and credit branch current account
B
Debit branch current account credit cash
C
Credit branch debtors and debit cash
D
Credit branch current account and debit branch debtors.
Principles of Accounts JAMB 2001 Q47 ✓ Answer: A
To account for expenses paid by head office on behalf of the branch, the branch should
A
Debit head office account and credit cash
B
Debit profit and loss account and credit head of- fice account
C
Credit cash and debit profit and loss account
D
Credit profit and loss account and debit head of- fice account.
Principles of Accounts JAMB 2001 Q48 ✓ Answer: B
The officer responsible for ascertaining whether all pub- lic expenditure and appropriation are in line with ap- proved guidelines is the
A
Account General
B
Auditor General
C
Finance Minister
D
Permanent Secretary Use the information below to answer questions 49 and Given: PTF Trial balance [Extract] as at 31 December 1999. Dr Cr N’000 N’000 Cash 2,000 Investments 3,000 Accounts receivable 6,000 [PAGE 27] Fund balance 11,000 11,000 11,000
Principles of Accounts JAMB 2001 Q49 ✓ Answer: C
Assuming all the investments realized N4m, what will be the ending fun balance?
A
N8m
B
N11m
C
N13m
D
N16m Principles of Account 1999 - Type A