Accounts - Principles of Accounts Past Questions and Answers

Fatima withdraws goods from the business for personal use. the accounting treatment is to debit?

A Stock account and credit profit and loss account
B Drawings account and credit stock account
C Profit and loss account and credit drawing account
D Stock account and credit drawings account

Question 2:

Fatima withdraws goods from the business for personal use. the accounting treatment is to debit?

A Stock account and credit profit and loss account
B Drawings account and credit stock account
C Profit and loss account and credit drawing account
D Stock account and credit drawings account

Question 3:

Use the information below to answer questions .
On January 1/2005, a machine was bought for N56,000 to last for five years with a residual value of N1000.
Calculate the yearly depreciation expense using the straight line method.

A N11 000
B N11 200
C N11 400
D N11 300

Question 4:

Use the information below to answer questions .
On January 1/2005, a machine was bought for N56,000 to last for five years with a residual value of N1000.
the rate of the yearly depreciation expense would be?

A 50%
B 40%
C 30%
D 20%

Question 5:

The objective of the purchase ledger control account is to established the?

A Credit purchases
B Net profit
C Total purchases
D Gross profit