Accounts - Principles of Accounts Past Questions and Answers

In the head office ledger, the value of goods sent to the branch are____________

A Debited to the branch current account
B Debited to the head office current account
C Credited to the head office current account
D Credited to the branch current account

Question 1162:

If the purchase price exceeds the net assets of a company, the excess amount is debited to________________

A Cash account
B Purchase account
C Goodwill account
D Sales account

Question 1163:

Gross profit in the branch adjustment account is transferred to the branch____________

A Income and expenditure account
B Profit and loss account
C Receipt and payment account
D Trading account

Question 1164:

Ade, Tony, Rose share profit and losses in the ratio of 3 : 2 : 1 respectively. Ade retires and the remaining partners decide to take Ade’s share in the existing ratio. What is the new ratio?

A 1 : 1
B 3 : 6
C 2 : 1
D 2 : 6

Question 1165:

Calls in advance are treated in the balance sheet as_______

A Current asset
B Fixed asset
C Current liability
D Fixed liability