Jamb 1995 Accounts - Principles of Accounts Questions
Question 6:
Given: Motor van, N3,600, Premises, N5,000; Loan from R. Nwaeke, N1,000; Cash at bank; N1,650; stock of goods N4,800; Creditors, N2,560; Cash in hand, N250 and debtors N6,910. calculate the capital figure.
- A N19,650
- B N18,650
- C N17,850
- D NN16,850
Question 7:
Which of the following transaction is BEST recorded in the general journal?
- A Payment of rent with cheque
- B Purchase of stock with cash
- C Purchase of an asset on credit terms
- D Transfer of cash from head office branch
Question 8:
Diamond Ringo business was started when Mr. Diamond brought in a cheque of N500,000, which was paid into the bank account. Which of the following entries properly records the transaction?
- A Cash account was credited with N500,000 and capital account was debited with N500,000
- B Bank account was debited with N500,000 and capital account was credited with N500,000
- C Bank account was accredited with N500,000
- D Mr. diamond acount was debited with N500,000 and the cheque account was credited with N500,000
Question 9:
One major advantage of ledger is that it
- A Is a book of original entry
- B Is only accessible to share holders during liquidation
- C Removes the need for preparing a balance sheet after each transaction
- D Can be used by any type of business
Question 10:
A trail balance is usually prepared by an accountant from account balances in the ledger for the purpose of
- A Classifying accounts in the ledger
- B Testing arithmetical accuracies of the ledger account balances
- C Identifying the balance sheet items
- D Providing a basis for establishing the accountant's competence