Jamb Accounts - Principles of Accounts Questions - Objectives of branch accounts
Question 1:
The difference between the closure of the books of a branch and those of a separate company is that?
- A There is retained earnings account on the branch books
- B The revenue and expenses account is closed to branch current account
- C There is no retained earnings account on the branch
- D The revenue and expenses account is not closed to the home office current account
Question 3:
Transfers from the head office to branches are best carried out at?
- A Cost price
- B Selling price
- C Cost plus mark-up
- D Market price
Question 4:
Expenditure incurred on consumables and goods for resale is?
- A Revenue expenditure
- B Capital expenditure
- C Sunk cost
- D Miscellanous expenses
Question 5:
The cost method of charging goods to branch is used where?
- A Branch stock adjustment account is in use
- B The retention of branch trading account is in addition to the cost of goods sold
- C Goods are sent without invoice or any source documents
- D Goods are of a perishable nature on which a pre-determined price is inapplicable