Use the following information to answer the question

Taurus Ltd was incorporated with the legal right to issue five million ordinary shares. The company has issued three million of the shares at GHC 0.60 per share. To date, the company has made calls of GHC 0.40 per share. All calls have been paid by shareholders except for GHC 100,000 owing from one shareholder.

The authorized number of shares is

• A. 3,000,000
• B. 8,000,000
• C. 5,000,000
• D. 100,000

The journal is a book

• A) of primary entry into which all transactions are entered before posting
• B) kept by journalist for reporting events
• C) of prime entry into which postings are made from the ledger
• D) of analyzing major accounts

One of the major features of book keeping is that it

• A. is futuristic in nature
• B. accepts responsibility for all wrong postings
• C. provides permanent records for all financial transactions
• D. does not give room for double entry procedure

Use the information below to answer questions .

Aug. 1 Received 20 units at N60 each

Aug. 6 Received 20 units at N68 each

Aug. 10 Issued 16 units

Aug. 20 Received 40 units at N80 each

Aug. 31 Issued 48 units

Using the FIFO method, what is the value of the closing stock?

• A. N1280
• B. N1184
• C. N1024
• D. N960

The account where the profit are distributed to the partner in their profit sharing ratio in partnership

• A. trading account
• B. appropriation account
• C. balance sheet
• D. profit and loss account

I. A retailer when fixing his selling price adds one-quarter to the cost of the article II. The expenses of the retailer is 10% of his sales III. The total sales is N23,000 IV. he turned over his stock five times in the year. Compute the average amount of stock in hand at cost price

• A. N3,860
• B. N3,806
• C. N3,680
• D. N3,086

One of the items listed below will not be found in a company’s memorandum and article of association. Which is it?

• A. objects and their alteration
• B. location of business
• C. bank signatories
• D. powers of directors

The accounting concept which is the basis upon which assets of a business are valued is the

• A. dual aspect concept
• B. consistency concept
• C. accrual concept
• D. historical concept

Subscription in advance is treated in the balance sheet as a

• A. current asset
• B. current liability
• C. fixed asset
• D. long term liability

Given: Opening capital - #50,000 Closing capital - #64,000 Drawings - #16,000 Determine the net profit

• A. #2,000
• B. #14,000
• C. #20,000
• D. #30,000