Accounts - Principles of Accounts Past Questions and Answers

Adex Company Limited issued ordinary shares N1 each to the public at N1.20. The statement were issued at

A A discount
B A profit
C A loss
D Par
E A premium

Question 1427:

A trader paid insurance premium of N1,350 for 15 months ended 31st March 1991. He prepares to 31st December. How much is charges to the profit and loss account for 1990?

A N1,350
B N1,080
C N338
D N270
E N90

Question 1428:

A trader paid insurance premium of N1,350 for 15 months ended 31st March 1991. He prepares to 31st December. How much is carried in the Balance Sheet at 31st December 1990?

A N1,350
B N1,080
C N338
D N270
E N90

Question 1429:

A trader paid insurance premium of N1,350 for 15 months ended 31st March 1991. He prepares to 31st December. The amount carried in the Balance Sheet is classified as

A Current asset
B Current liabilities
C Investment
D Fictitious asset
E Reserve

Question 1430:

Subscription in advance is treated in the balance sheet of a club as

A Current liability
B Current asset
C Fixed asset
D Fictitious asset
E Intangible asset