JAMB Accounting Past Questions & Answers - Page 33

161.

In the preparation of statement of profit, if the opening capital is greater than closing capital, there will be

A.

Profit

B.

Capital

C.

Loss

D.

Cash

Correct answer is C

The difference between opening and closing capital will give either a profit or loss.
If the opening capital is greater than closing capital then loss and vice versa.

162.

Payment to creditors ₦12,250
Creditors at start ₦550
Creditors at end ₦830

What is the creditors amount in the balance sheet?

A.

₦550

B.

₦12,250

C.

₦12,530

D.

₦830

Correct answer is D

The creditors at end figure is used for the balance sheet.

 

163.

Payment to creditors ₦12,250
Creditors at start ₦550
Creditors at end ₦830

What is the amount of purchase?

A.

₦11,970

B.

₦11,000

C.

₦1,250

D.

₦12,053

Correct answer is A

12,250 + 550 - 830
13,080 - 830
₦11,970

164.

Given:


Equipment
Motor Vehicle
Loan
Creditors
Sub in advance
Sub in arrears

10,000
15,000
4,500
3,000
150
3500

What is the accumulated fund?

 

A.

₦14,150

B.

₦20,850

C.

₦21,850

D.

₦14,200

Correct answer is B

Accumulated fund = Assets - liabilities
10,000 + 15,000 + 3500 - 4500 + 3000 + 150
28,500 - 7650
₦20,850

165.

The similarities between Receipts and payments and income and expenditure account is

A.

Both accounts follows the principle of double entry

B.

They are summaries of financial statements

C.

Both include capital items

D.

Both are prepared by non-profit making concern

Correct answer is C

The receipts and payment accounts include both capital and revenue items while income and expenditure account include only revenue items.