JAMB Accounting Past Questions & Answers - Page 262

1,306.

The difference between the closure of the books of a branch and those of a separate company is that?

A.

There is retained earnings account on the branch books

B.

The revenue and expenses account is closed to branch current account

C.

There is no retained earnings account on the branch

D.

The revenue and expenses account is not closed to the home office current account

Correct answer is A

No explanation has been provided for this answer.

1,307.

Which of the following entries is effected by a department when goods are charged to it at selling prices?

A.

Stock account is debited

B.

Purchases account is debited

C.

Stock account is credited

D.

Mark-up account is debited

Correct answer is B

No explanation has been provided for this answer.

1,308.

To compute gearing ratio, divide?

A.

Profit by capital employed

B.

Current assets by current liability

C.

Profit by total assets

D.

Long-term debts by equity capital

Correct answer is D

No explanation has been provided for this answer.

1,309.

The part of equity which is payable on winding up is called?

A.

General reserve

B.

Revenue reserve

C.

Capital reserve

D.

Normal reserve

Correct answer is B

No explanation has been provided for this answer.