JAMB Accounting Past Questions & Answers - Page 129

641.

The major advantage of an imprest system is that it

A.

Ensures a proper accountability for every expenditure

B.

Trains the young accountants in preparation for greater responsibilities

C.

Relieves the chief cashier of the numerous petty cash payments

D.

Serves as an analysis column for every expenses

Correct answer is C

No explanation has been provided for this answer.

643.

The accounting entries to record a cheque issued by a business is to

A.

Debit cash book and credit drawer

B.

Credit cash book and debit drawer

C.

Debit cash book and credit suspense account

D.

Credit cash book and debit suspense account

Correct answer is B

No explanation has been provided for this answer.

644.

The book of account in which information from the source documents are recorded consists of

A.

Debit and credit notes

B.

Ledger and subsidiary books

C.

Prepayments and accruals

D.

Profit and loss and balance sheet

Correct answer is B

No explanation has been provided for this answer.

645.

A ledger is classified into

A.

Private, sales and purchases

B.

Personal, general and private

C.

General, private and sales

D.

Sales, purchases and general

Correct answer is D

The three types of ledgers are general, sales, and purchase ledgers.

The sales ledger records all sales transactions, whether cash or credit sales. While the purchase ledger records all purchases including those fully paid for and unpaid.

The general ledger, on the other hand,  is a document providing a complete record of all the financial transactions of your business.