Accounts - Principles of Accounts Past Questions and Answers

A trader paid insurance premium of N1,350 for 15 months ended 31st March 1991. He prepares to 31st December. The amount carried in the Balance Sheet is classified as

A Current asset
B Current liabilities
C Investment
D Fictitious asset
E Reserve

Question 157:

Subscription in advance is treated in the balance sheet of a club as

A Current liability
B Current asset
C Fixed asset
D Fictitious asset
E Intangible asset

Question 158:

Directors' remuneration are recorded in the book as

A Revenue expenditure
B Appropriaion
C Deferred expenditure
D Provision
E Capital expenditure

Question 159:

In a non-profit oriented organization, the excess of income over expenditure is

A Asses ro the capita,l
B Added to the accumulated fund
C Deducted from the capital
D Deduced from the accumulated fund
E Deduced from the reserve

Question 160:

Which of the following will not affect the agreement of the cash book balance and bank statement balance?

A Bank charges
B Standing order
C Dishonoured cheque
D Cash payment
E Unpresented cheques