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.
Which of the following describes a trial balance?
It shows all the entries in the books
It reveals the financial position of a business
It is a list of accounting balances on the books
it is a special account
Correct answer is C
No explanation has been provided for this answer.
The effect on profit when the closing stock is understated is
Increase in profit
Decrease in profit
No change in profit
Appropriation of profit
Correct answer is B
No explanation has been provided for this answer.
The balance sheet equation shows
Current assets minus current liabilities
The difference between fixed assets and current liabilities
Assets and sources of financing them
Sources of funding owner's equity
Correct answer is C
No explanation has been provided for this answer.
Customer account with N20,000 crediting discount allowed with N20,000
Discount allowed with N10,000; crediting customer's account with N10,000
Customer's account with N10,000, crediting discount allowed with N10,000
Discount allowed with N20,000, crediting cash with N20,000
Correct answer is C
This means the discount allowed was in surplus of N10,000. The discount allowed is an expense of the seller and it is recorded on the debit side of the seller's book. To correct this error, we will enter a corresponding N10,000 amount on the credit side of the book to cancel the excess amount.
₦9,000
₦2,500
₦3,000
₦1,500
Correct answer is B
\(\begin{array}{c|c} \text{Sales} & & 9000 \\ \hline \text{Stock Jan 1} & 2000 & \\ \hline \text{Purchases} & 4000 & \\ \hline \text{Carriage inwards} & 500 & 6500 \\ \hline \text{Gross profit} & & 2500 \end{array}\)