JAMB Accounting Past Questions & Answers - Page 21

101.

The debenture issued at par above the nominal value is Said to be issued at a

A.

Margin

B.

Premium

C.

Cost price

D.

Mark-up

Correct answer is B

No explanation has been provided for this answer.

102.

Which of the following are advantages of departmental accounts?

A.

The capital of the business can be calculated easily

B.

Easy knowledge of the sources of funding

C.

Encouragement of healthy rivalry among the various department

D.

The department making the highest profit can be easily determined

Correct answer is D

No explanation has been provided for this answer.

103.

Four broad classifications of overheads are

A.

Production, selling, distribution and administration

B.

Production, selling, distribution and material

C.

Selling, distribution and material

D.

Distribution, selling, administration and materials

Correct answer is A

No explanation has been provided for this answer.

104.

Advertising expenses incurred on a product in a business organization should be charged to

A.

Production department

B.

Purchases department

C.

Sales department

D.

Administrative department

Correct answer is C

No explanation has been provided for this answer.

105.

The major distinguishing element between the final accounts of a partnership and a sole trader is the

A.

Drawings account

B.

Appropriation account

C.

Capital account

D.

Creditors account

Correct answer is D

No explanation has been provided for this answer.