In preparing accounting records, the owners of a business and the business are treated as

• A. separate legal entities
• B. partners
• C. the same person
• D. having business relationship

A double entry for a transaction that offsets one amount against another on both sides of the cashbook is a

• A. original entry
• B. contract entry
• C. prime entry
• D. contra entry

i. Direct materials ii.Direct labour iii.Direct expenses iv. Factory expenses Prime cost consist of

• A. i, ii and iii
• B. i, ii and iv
• C. i, iii and iv
• D. ii, iii and iv

Calls in advance are treated in the balance sheet as?

• A. current asset
• B. current liability
• C. fixed assets
• D. fixed liability

Goods returned to branch by customers is recorded in the head office books be debiting?

• A. bank account and crediting branch stock account
• B. goods sent to branch account and crediting branch debtors''account
• C. branch stock account and crediting branch debtors account
• D. branch debtors' and credting cash acount

The purchase ledger control account of a company had an opening balance of N45,600 credit and closing balance of N72,600 credit. The company made payments of 437,000 to credit suppliers during the period: and had discount received of N18,600 on this account. What were the credit purchase for the period?

• A. N509,600
• B. N482,600
• C. N428,600
• D. N418,400

Public sector accounting is practiced in ______.

• A) public limited companies
• B) government organizations
• C) profit making organizations
• D) public trading companies

Given:

Lankoh Company Ltd

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Stock 3,600,000

Cash at hand 800,000

Cash in bank 2,400,000

Debtors 580,000

Trade creditors 920,000

Bank overdraft 200,000

Tax liabilities 600,000

Salary owed to staff 180,000

What is the working capital?

• A. ₦5,480,000
• B. ₦6,480,000
• C. ₦8,480,000
• D. ₦7,380,000

Adamu, Babaji and Chukwu are in partnership and they share profit and losses on ratio 3:2:1. Their respective capitals are N20 000, N15 000 and N5 000 on which on which they are entitle to interest at 5% per annum. The profit for the year before charging interest on capital amounted to N5 500. Calculate the profit for Adamu?

• A. N583
• B. N1 000
• C. N1 167
• D. N1 750

Which of the following is not a capital reserve?

• A) Share premium
• B) Revaluation reserve
• C) Sinking fund redemption reserve
• D) Retained profit