Accounts - Principles of Accounts Past Questions and Answers

Which of the following cannot be realized?

A Creditors
B Debtors
C Motor vehicles
D Goodwill

Question 47:

If a trail balance is in agreement, one of the statement is untrue

A The accounting system is error free
B Equal debit entries and credit entries were recorded for each transaction
C The debit and credit from the journal were posted to the accounts
D Account balances were correctly computed

Question 48:

Use the following information to answer this question.
Club building 400,000
Subscription prepaid 3,000
Sport kits 150,000
Bar creditors 85,000
Subscription owing 32,000
What is the club’s total liabilities

A N11, 700
B N26, 700
C N88, 000
D N85, 000

Question 49:

If sales return is understated, it implies that ------------------------------ is overstated

A Return inward
B Sales figure
C Cost of sales
D Return outward

Question 50:

Accounting information is used by investors and creditors of a company to predict

A Potential merger candidates for the company
B Appropriate remunerations for the company’s staff
C Future cash flows of the company
D Future tax payments of the company