Financial Past Questions And Answers
Given:
I. Settlement of debts
II. Cessation of business
III. Introduction of assets
IV. Disposal of assets
Which of these constitutes dissolution of partnership?
- A. I,II and III only
- B. I,II and IV only
- C. II and IV only
- D. II and III and IV only
Where a proprietor withdraws cash from the business for his private use, the entries would be
- A) credit cash account, debit proprietor
- B) credit proprietor
- C) credit proprietor
- D) credit cash account, debit drawings account
Head office sends goods to its branch at cost plus mark-up of of 25%. A debit of N40,000 to the branch stock account in the head office books will indicate that the head office has sent goods with a profit of
- A. N4000
- B. N6000
- C. N10000
- D. N8000
Which of the following methods of invoicing goods to branches facilitate easy checks on the activities of branches?
- A. Selling price
- B. Fixed percentage on cost
- C. Cost price
- D. Invoice price
The total credit sales for a period can be extracted from the?
- A. Cash book
- B. Sales day book
- C. Petty cash book
- D. Returns inwards
₦
Bank account 59,410
Capital account 50,000
Purchases account 20,000
Rent 2,500
Stationery 90
Typewriter 6,500
Sales 38,500
In preparing a trial balance from the list of balances given above, what is the total in debit and credit columns?
- A. ₦I38,500
- B. ₦147,910
- C. ₦85,800
- D. ₦88,500
The short term solvency of a company is determined with ------- ratio
- A. acid test
- B. gross profit margin
- C. debt to equity
- D. current
The purchase consideration that is lower than the net asset implies that, the buyer has gained the advantage of
- A. net income
- B. revenue reserve
- C. capital reserve
- D. net loss
What is the main purpose of transaction file?
- A. To record assets and liabilities
- B. To update income and expenses
- C. to update master files
- D. to make organization decision
Which of the following account is kept by local governments in Nigeria?
- A. Balance sheet
- B. Advances account
- C. Debtors account
- D. Profit account