Accounting questions and answers

Accounting Questions and Answers

If you are preparing for an accounting aptitude test or even a job interview, these accounting questions and answers will help you master the principles of accounting. This test covers accounting past questions from WAEC, JAMB, Post UTME exams and many more.

941.

The documents that provide instant information to firms on their tranactions with banks are

A.

Bank statement and debit note

B.

Cheque book and cashbook

C.

Cheque stub and deposit slip

D.

Payslip and credit invoice

Correct answer is A

Bank statement is a printed record of the balance in a bank account and the amounts that have been paid into it and withdrawn from it, issued periodically to the holder of the account.

debit note is a document sent by a buyer to seller or in other words a purchaser to a vendor notifying that a debit has been made to their accounts. A debit memo on a company's bank statement refers to a deduction by the bankfrom the company's bank account. In other words, a bank debit memo reduces the bank account balance similar to a check drawn on the bank account.

 

942.

An item in the balance sheet of a limited liability company is

A.

Accrued expenses

B.

Lighting and heating

C.

Salaries and wages

D.

General expenses

Correct answer is A

Accrued expense is expense which has been incurred but not yet paid. Expense must be recorded in the accounting period in which it is incurred. Therefore, accrued expense must be recognized in the accounting period in which it occurs rather than in the following period in which it will be paid.

It can be found on the liabilities part of a balance sheet of a limited liability company

 

944.

The instrument used in analysis and interpretation of financial statement is the

A.

Accounting ratios

B.

Income and expenditure extract

C.

Balance sheet extract

D.

Found accounting

Correct answer is A

Accounting ratio is the comparison of two or more financial data which are used for analyzing the financial statements of companies. It is an effective tool used by the shareholders, creditors and all kinds of stakeholders to understand the profitability, strength and financial status of companies.