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.
Use the information below to answer question:
Trading account for the year ended 31st December 2009
| ₦ | ₦ |
| Opening Stock 32,000 | Sales 48,000 |
| Purchases 40,000 | Less Return 2,000 |
| Carriage inwards 1,000 | |
| 41,000 | |
| Less Return 2,000 39,000 | |
| Cost of goods available ?? | |
| Less closing stock 9,000 | |
| Cost of goods sold ?? |
N20,500
N23,000
N28,000
N27,000
Correct answer is A
Average stock is the calculating the addition of stock at the beginning and at the end of the financial period and dividing the value by two.
It is the average value of products kept for sale during an accounting period.
Therefore:
Average stock = opening stock + closing stock/2
= 32000 + 9000/2
= 41000/2
=₦ 20500
Materiality
Periodicity
Objectivity
Conservatism
Correct answer is C
No explanation has been provided for this answer.
Account payable is classified as a
Prepayment
Provision
Current liability
Long term liability
Correct answer is C
No explanation has been provided for this answer.
| N | N |
| Capital 39,000 | Land 20,000 |
| Long Term Loan 15, 000 | Building 30,000 |
| Creditors 9,000 | Stock 40,000 |
| Debtors 6,000 | |
| Accrued wages 5,000 | Cash 8, 000 |
| 68,000 | 68,000 |
Use the information above to answer the question
: The acid test ratio in the company is___________
1:1
2:3
1:2
3:2
Correct answer is A
Acid test ratio measures the liquidity position of a company after deduction stock (inventory) from current assets
Formula: current assets less inventory/current liabilities
18000 - 4000/14000 = 1 : 1
The accounts of Jute Enterprise in the books of a supplier will be a
Nominal account in the general ledger
Personal account in the sales ledger
Personal account in the purchases ledger
Real account in the general ledger
Correct answer is B
No explanation has been provided for this answer.