Study and practice Accounting past questions with answers and detailed explanations. Then test your knowledge using our interactive CBT practice platform and prepare confidently for your upcoming examinations.
What are the advantages of an imprest petty cash book?
I cheques can be drawn easily
II A cheque on the use of cash
III Liability of the petty cashier is limited to the value of petty cash
IV Loses through the petty cashier can be minimized
AI, II and III only
BI, II and IV only
CI, III and IV only
DII, III and IV only
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Question 22
jamb1995
A trail balance is usually prepared by an accountant from account balances in the ledger for the purpose of
Aclassifying accounts in the ledger
Btesting arithmetical accuracies of the ledger account balances
Cidentifying the balance sheet items
Dproviding a basis for establishing the accountant's competence
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Question 23
jamb1995
One major advantage of ledger is that it
Ais a book of original entry
Bis only accessible to share holders during liquidation
Cremoves the need for preparing a balance sheet after each transaction
Dcan be used by any type of business
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Question 24
jamb1995
Diamond Ringo business was started when Mr. Diamond brought in a cheque of N500,000, which was paid into the bank account. Which of the following entries properly records the transaction?
ACash account was credited with N500,000 and capital account was debited with N500,000
BBank account was debited with N500,000 and capital account was credited with N500,000
CBank account was accredited with N500,000
DMr. diamond acount was debited with N500,000 and the cheque account was credited with N500,000
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Question 25
jamb1995
Which of the following transaction is BEST recorded in the general journal?
APayment of rent with cheque
BPurchase of stock with cash
CPurchase of an asset on credit terms
DTransfer of cash from head office branch
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Question 26
jamb1995
Given: Motor van, N3,600, Premises, N5,000; Loan from R. Nwaeke, N1,000; Cash at bank; N1,650; stock of goods N4,800; Creditors, N2,560; Cash in hand, N250 and debtors N6,910. calculate the capital figure.
AN19,650
BN18,650
CN17,850
DNN16,850
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Question 27
jamb1995
Which of the following accounting records are source documents?
AJournal and ledgers
BSales invoice and cash book
CCash book and debit note
Dsales invoice and debit note
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Question 28
jamb1995
An effective accounting system should provide information
Aon new product and methods
Bfor cutomer feed back and requirement
Con internal and external reporting for managers and third parties
Dfor promoters, directors, labour union and distributors
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Question 29
jamb1995
Which of the following concept stipulates that accounting profit is the difference between revenue and expenses?
AAccrual concept
BConservatism concept
CPrudence concept
DMateriality concept
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Question 30
jamb1995
which of the following factors has aided the development of accounting?
AThe emergence of nation states
BThe discovery of mineral resources in commercial quantity
Cthe growth in size of businesses and separation of ownership and management
Dthe development and management of sophisticated monetary system
