Accounts - Principles of Accounts Past Questions and Answers

The following represent extracts from the trading account of a retail outlet for a given month:
Opening stock N2,400
Closing stock N6,400
Other expenses N2,000
Sales N11,000
Profit N900
What is the purchase figure for the month?

A N13,000
B N12,100
C N12,000
D N11,200

Question 52:

Adama's bank account showed an overdraft of N600 on 31st march. On going through the account, it was discovered that the N1,080 paid into the account on 29th March had not been credited. what should be the balance in Adama's cash accounts?

A N1,680 Dr
B N1,080 Cr
C N600 Dr
D N480 Cr

Question 53:

Why are adjustments in the profit and loss account necessary?

A To cover some expenses of the following year
B To ascertain the actual expenses incurred and income earned during the year
C To show the provision made during the year
D To show the total expenses paid and income received during the year

Question 54:

Sales ledger control account contains the total amount in respect of

A Creditors
B Debtors
C Investors
D Shareholders

Question 55:

The purchase ledger control account of a company had an opening balance of N45,600 credit and closing balance of N72,600 credit. The company made payments of 437,000 to credit suppliers during the period: and had discount received of N18,600 on this account. What were the credit purchase for the period?

A N509,600
B N482,600
C N428,600
D N418,400