JAMB Accounting Past Questions & Answers - Page 66

326.

The tier of government that uses financial memorandum

A.

Federal government

B.

State government

C.

Local government

D.

Municipal government

Correct answer is C

No explanation has been provided for this answer.

327.

Which of the following is used to service all operations of government?

A.

Consolidated Revenue Fund

B.

Consolidated Reserve Fund

C.

Special Operational Fund

D.

General-Reserve Fund

Correct answer is A

Consolidation revenue fund generate its revenue through allocation from the federation account, court fees and fines etc and is used to finance government operation e g cost, overhead

 

328.

The discount column on the left-hand side of cashbook represents a discount

A.

Received from a creditor

B.

Allowed to a debtor

C.

Received from a debtor

D.

Allowed to a creditor

Correct answer is B

Allowed to a debtor: the debit side of the cashbook is where all proceeds from sales are recorded and have to be matched with the discount allowed to the debtor /creditor

 

329.

The use of a three column cash book is determined by

A.

Cash discount

B.

Trade discount

C.

Cash transaction

D.

Bank transaction

Correct answer is A

A cash discount is a deduction allowed by the seller of goods or by the provider of services in order to motivate the customer to pay within a specified time

330.

Given: 

I. Settlement of debts 
II. Cessation of business
III. Introduction of assets 
IV. Disposal of assets 
Which of these constitutes dissolution of partnership?

A.

II and IV only

B.

I, II and IV only

C.

I, II and III only

D.

II, III and IV only

Correct answer is B

Dissolution of partnership business simply means the break up of partnership business and which are caused by many factors
II,III and IV: disposal of asset does not constitute dissolution