Shares are said to be authorized when they are
Paid-up
Called up
Offered for sale
Subscribed
Correct answer is C
Authorized shares are defined as the maximum number of shares that a company is legally allowed to issue to investors as per its own determinations
Which of the following is found on the credit side of a profit and loss account?
Advertising
Dividend received
Wages and salaries
Bank charges
Correct answer is B
Dividend received as as revenue i.e income or money received in trading transactions. It is credited to the profit or loss account.
Current assets are shown in the balance sheet in order of performance as
debtors, stock, bank and cash
stock, debtors, bank and cash
stock, bank, debtors and cash
debtors, stock, cash and bank
Correct answer is B
The current assets are usually listed on the balance sheet in the following order:
- inventory (stock)
- account receivables e.g debtors
- marketables securities
- cash and cash equivalent
|
₦ |
|
|
Manufacturing wages |
42,000 |
|
Factory rent |
880 |
|
Raw materials: Stock 1/1/16 |
1,000 |
|
Purchases |
16,000 |
|
Stock 31/12/16 |
1,400 |
|
Depreciation of Plants and Machinery |
800 |
|
Royalties |
300 |
|
Indirect wages |
18,000 |
|
General indirect expenses |
620 |
What is the value of the indirect manufacturing cost?
₦57,900
₦18,200
₦20,300
₦23,000
Correct answer is C
Indirect cost = 880 + 800 + 18000 + 620
= ₦20,300