Financial Past Questions And Answers
Granada Corporation has net assets of N600,000 and contributed capital of N180,000. The corporation has 30,000 shares of common stock outstanding with no preferred stock. This suggest that the corporation has?
- A. a book value of N14 per share
- B. a book value of N20 per share
- C. a deficit of N420,000
- D. retained earnings of N600,000
Total production cost- #360,000 Factory overhead cost- #56,000 Selling price per unit- # 120 Production volume 4000 units What is the total manufacturing profit?
- A. #64,000
- B. #120,000
- C. #360,000
- D. #480,000
Which of the following is an example of a liability?
- A) Inventor
- B) Receivables
- C) Plants and Machineries
- D) Loan
Use the information below to answer question 4 and 5. Sales N20,000 Cost sales N10,000 Operating expenses N2,500 Expenses prepaid included in operating expenses N500. Calculate the net profit?
- A. N12,500
- B. N10,000
- C. N8,000
- D. N7,500
The financial position of an organization at a particular time can be ascertained from the
- A. statement of sources and application of funds
- B. statement of retained earnings
- C. balance sheet
- D. profit and loss account
Use the information to answer the question.
...................................................30/9/06.......30/9/07.....
.......................................................N.............N.........
Accrued insurance premium........600...........710.......
Prepaid rent income....................490............630......
The cash book includes N1,850 and N,2,100 with respect to insurance premium and rent income respectively.
The insurance premium to be taken to the profit and loss account would be.
- A. N1,310
- B. N1,850
- C. N1,990
- D. 2,210
Use the following information to answer this question
The following are the final accounts of a trading organisation Wazobi ventures, for the year ended 30th June, 19x8
| # | # | |
| Sales less: cost of goods sold | 233,000 170,000 | |
| 63,000 | ||
| less: Overhead Expenses Admin expenses Selling expenses Other overhead expenses | 16,800 15,000 6,200 | |
| Net profit | 25,000 |
What is the Gross Profit on percentage of sale?
- A. 2.7%
- B. 0.27%
- C. 27.0%
- D. 29.8%
Which of the following is not a feature of private limited companies
- A) the name of the company ends with limited
- B) minimum of two directors is required
- C) shares cannot be subscribed for by the public
- D) transfer of shares is restricted by law
The rule of accounting equation requires that account payable should be placed under
- A. equities
- B. assets
- C. capital
- D. liabilities
A business shows total debtors’ balance of ?400,000 in its ledger at the end of its financial customer owing ?40,000 are bankrupt, and there is no possibility of getting the debt paid. A further 2% of the debt is considered doubtful. What debtors’ total will be included as a current asset in the balance sheet?
- A) ?400,000
- B) ?352,800
- C) ?352,000
- D) ?36,200