Accounts - Principles of Accounts Questions
Question 1571:
The excess of current assets over current liabilities is
- A Fixed capital
- B Registered capital
- C Nominal capital
- D Paid-up capital
- E Working capital
Question 1572:
Rate of stock turnover is defined as
- A Purchases over stock
- B Cost of goods available for sale over total of opening and closing stock
- C Cost of goods available for sale ovet total of opening and closing stock
- D Cost of goods sold over total opening and closing stock
- E Cost of goods sold over average stock
Question 1573:
Which of the following is not true of a partnership business without written agreement?
- A Profit and losses will shared equally
- B Interest not to be paid on capital
- C Interest on drawings is to be at the rate 5% per annum
- D Salaries are not allowed to partners
- E Money in excess of capital agreed to subscribe is to attract an interest of 5% per annum
Question 1574:
Creditors at start was N940 and purchases for the year was N4,060. During the year, cash paid to creditors was N3,890. N490 was received as discount. What is the creditors amount in the balance sheet?
- A N450
- B N620
- C N660
- D N1,110
- E N1,430
Question 1575:
A cheque drawn for N1200 was entered in the cash book as a receipt. The accounting entries are
- A Credit cash account, debit bank account with N1,200
- B Debit cash account, creidit bank account with N1,200
- C Credit cash account, debit suspense account with N2,400
- D Debit cash account, debit suspense account with N2,400
- E Credit bank account, debit suspense account with N2,400