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.
Another name for control accounts is
Total account
Purchases ledger
Creditors' account
Debtors' account
Correct answer is A
Control account is also known as self balancing ledger of total control account.
Suppliers' personal account are found in the
private ledger
nominal ledger
purchases ledger
sales ledger
Correct answer is C
The purchases ledger contains accounts of creditors i.e it is the book for supplier personal account.
In the final account of a limited liability company, debenture interest paid is recorded in the
capital account
profit and loss account
trading account
current account
Correct answer is B
Debenture interest is recorded on the debit side of the profit and loss account.
The authority to transfer fund from one head to another within the same organization is called
Fund
Wallet
Vote
Virement
Correct answer is D
Virement warrants is used to transfer fund from one vote head to another. It is used to create a new vote head but to transfer fund within the same economic head.
Use the following information to answer the question
|
$ |
|
|
Trade creditors (31/12/2020) |
4,000 |
| Paid for purchases in 2021: Cheques | 110,000 |
| Carriage inwards | 1,000 |
| Trade creditors (31/12/2021) | 6,000 |
The balance c/d on trade creditors will be recorded in the balance sheet as
current asset
short-term liability
long-term liability
fixed asset
Correct answer is B
The balance c/d on trade creditors will be recorded in the balance sheet as a "short-term liability."
Trade creditors represent amounts owed by a business to its suppliers for goods or services that have been purchased on credit. These amounts are typically expected to be paid within a short period, usually within a year. As a result, trade creditors are classified as short-term liabilities on the balance sheet.
In the given information, the trade creditors balance on December 31, 2021, is $6,000. This represents the amount that the business still owes to its suppliers at the end of the year. Since it is an amount payable in the short term, it will be recorded as a short-term liability on the balance sheet.