JAMB Accounting Past Questions & Answers - Page 32

The principle of double entry system ensures

Use the information below to answer this question
At the end of a financial period, the trading profit and loss account of a sole trader shows a profit of 
₦180,000 it is however discovered that revenue of 
₦15,000 is recorded as expenses while expenses of
₦4,000 is recorded as revenue.

The revenue to be added as an adjustment is

Use the information below to answer this question

At the end of a financial period, the trading profit and loss account of a sole trader shows a profit of 

₦180,000 it is however discovered that revenue of 

₦15,000 is recorded as expenses while expenses of

₦4,000 is recorded as revenue.

 

The revenue to be added as an adjustment is

At the end of a financial period, the trading profit and loss account of a sole trader shows a profit of 

₦180,000 it is however discovered that revenue of 

₦15,000 is recorded as expenses while expenses of

₦4,000 is recorded as revenue.

 

Determine the adjusted net profit

The purchase consideration that is lower than the net asset implies that, the buyer has gained the advantage of