Accounts - Principles of Accounts Past Questions and Answers

Use the information below to answer this question.
\(\begin{array}{c|c}
\text{Stock} & 11,250 \\
\hline
\text{Debtors} & 18,750 \\
\hline
\text{Creditors} & 3,750 \\
\hline
\text{Bank} & 4,000 \\
\hline
\text{Net profit} & 7,500 \\
\hline
\text{Net} & 60,000 \\
\end{array}\)
Determine the debtors collection period

A 114 days
B 68 days
C 37 days
D 41 days

Question 12:

Prime cost is one of the following

A Expenses which can be identified with an allocated to cost centers
B Aggregate direct material cost, direct labour cost and variable direct expenses
C The cost taken into account in the production process whether direct or indirect
D The cost of commodities supply to an undertaking

Question 13:

The accounting concept that allows the cost of kitchen cutlery to be expensed, though it can be used for more than one year is

A Materiality
B Accrual
C Going concern
D Business entity

Question 14:

Use the information below to answer this question.
Timo and Chris are computer engineers who went into partnership as Teachi and Co. Timo brought cash of N12,000 furniture worth of N18,000 and vehicle worth of 70,000. Chris equally brought in cash of 10,000 his building valued at 105,000 and personal computers worth N35,000.
What is the profit sharing ratio if it’s based on capital contribution by Teechi and Co?

A 2 : 3
B 3 : 2
C 6 : 5
D 5 : 6

Question 15:

When the invoice of a customer is overcast, the supplier will send to him a

A Debit note
B Cheque
C Credit note
D Payment voucher