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.
Carriage outwards is charged to
Trading account
Appropriation account
Purchases account
Profit and loss account
Correct answer is D
Carriage outwards refers to the seller's cost of delivering goods to the buyer. Carriage outwards is the expense of the seller when the terms of the sale are FOB destination. Under the accrual method of accounting, the cost of carriage outwards should be reported on the income statement as an operating expense in the same period as the sale of the goods.
It is charged with profit and loss account.
Which of the following is correct about cost of goods sold?
opening stock + purchases - closing stock
opening stock + sales + closing stock
openig stock - purchases - closing stock
opening stock + sales + closing stock
Correct answer is A
No explanation has been provided for this answer.
Carriage outwards is charged to
Credited to the trading account
Debited to the profit and loss account
Credited to the profit and loss account
Credited to the appropriation account
Correct answer is A
No explanation has been provided for this answer.
The amount set aside out of profit for a specific purpose is
provision
reserve
depreciation
depletion
Correct answer is A
No explanation has been provided for this answer.
capitalization
depreciation
depletion
amortization
Correct answer is B
No explanation has been provided for this answer.